SELECT MEDICAL HOLDINGS CORP (SEM) Fundamental Analysis & Valuation
NYSE:SEM • US81619Q1058
16.25 USD
-0.01 (-0.06%)
At close: Mar 4, 2026
16.25 USD
0 (0%)
After Hours: 3/4/2026, 4:04:03 PM
This SEM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
SEM gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 101 industry peers in the Health Care Providers & Services industry. SEM has a medium profitability rating, but doesn't score so well on its financial health evaluation. SEM has a correct valuation and a medium growth rate.
1. SEM Profitability Analysis
1.1 Basic Checks
- In the past year SEM was profitable.
- In the past year SEM had a positive cash flow from operations.
- SEM had positive earnings in each of the past 5 years.
- SEM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- SEM has a Return On Assets (2.44%) which is in line with its industry peers.
- With a decent Return On Equity value of 8.38%, SEM is doing good in the industry, outperforming 67.33% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 5.27%, SEM is in line with its industry, outperforming 56.44% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for SEM is below the industry average of 9.13%.
- The 3 year average ROIC (4.28%) for SEM is below the current ROIC(5.27%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.44% | ||
| ROE | 8.38% | ||
| ROIC | 5.27% |
ROA(3y)3.12%
ROA(5y)3.34%
ROE(3y)13.23%
ROE(5y)17.79%
ROIC(3y)4.28%
ROIC(5y)4.69%
1.3 Margins
- The Profit Margin of SEM (2.62%) is better than 64.36% of its industry peers.
- In the last couple of years the Profit Margin of SEM has declined.
- With a decent Operating Margin value of 6.17%, SEM is doing good in the industry, outperforming 69.31% of the companies in the same industry.
- SEM's Operating Margin has declined in the last couple of years.
- With a Gross Margin value of 11.54%, SEM is not doing good in the industry: 71.29% of the companies in the same industry are doing better.
- In the last couple of years the Gross Margin of SEM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.17% | ||
| PM (TTM) | 2.62% | ||
| GM | 11.54% |
OM growth 3Y25.21%
OM growth 5Y-6.51%
PM growth 3Y-8.86%
PM growth 5Y-10.34%
GM growth 3Y9.83%
GM growth 5Y-4.91%
2. SEM Health Analysis
2.1 Basic Checks
- SEM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, SEM has less shares outstanding
- Compared to 5 years ago, SEM has less shares outstanding
- SEM has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.62, we must say that SEM is in the distress zone and has some risk of bankruptcy.
- The Altman-Z score of SEM (1.62) is comparable to the rest of the industry.
- SEM has a debt to FCF ratio of 15.74. This is a negative value and a sign of low solvency as SEM would need 15.74 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 15.74, SEM is in line with its industry, outperforming 43.56% of the companies in the same industry.
- SEM has a Debt/Equity ratio of 1.07. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 1.07, SEM is not doing good in the industry: 61.39% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 15.74 | ||
| Altman-Z | 1.62 |
ROIC/WACC0.65
WACC8.14%
2.3 Liquidity
- SEM has a Current Ratio of 1.04. This is a normal value and indicates that SEM is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.04, SEM is doing worse than 66.34% of the companies in the same industry.
- SEM has a Quick Ratio of 1.04. This is a normal value and indicates that SEM is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 1.04, SEM is in line with its industry, outperforming 42.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 |
3. SEM Growth Analysis
3.1 Past
- SEM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -30.30%.
- Measured over the past years, SEM shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.36% on average per year.
- The Revenue has been growing slightly by 5.12% in the past year.
- The Revenue has been decreasing by -0.29% on average over the past years.
EPS 1Y (TTM)-30.3%
EPS 3Y-2.22%
EPS 5Y-9.36%
EPS Q2Q%223.08%
Revenue 1Y (TTM)5.12%
Revenue growth 3Y5.76%
Revenue growth 5Y-0.29%
Sales Q2Q%6.41%
3.2 Future
- SEM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.64% yearly.
- SEM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.74% yearly.
EPS Next Y15.13%
EPS Next 2Y15.26%
EPS Next 3Y21.64%
EPS Next 5YN/A
Revenue Next Year4.33%
Revenue Next 2Y4.74%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. SEM Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 14.13, which indicates a correct valuation of SEM.
- Compared to the rest of the industry, the Price/Earnings ratio of SEM indicates a rather cheap valuation: SEM is cheaper than 85.15% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 26.83, SEM is valued a bit cheaper.
- Based on the Price/Forward Earnings ratio of 12.27, the valuation of SEM can be described as correct.
- 84.16% of the companies in the same industry are more expensive than SEM, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of SEM to the average of the S&P500 Index (24.95), we can say SEM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.13 | ||
| Fwd PE | 12.27 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, SEM is valued a bit cheaper than the industry average as 79.21% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of SEM indicates a somewhat cheap valuation: SEM is cheaper than 73.27% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.16 | ||
| EV/EBITDA | 8.01 |
4.3 Compensation for Growth
- SEM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- A more expensive valuation may be justified as SEM's earnings are expected to grow with 21.64% in the coming years.
PEG (NY)0.93
PEG (5Y)N/A
EPS Next 2Y15.26%
EPS Next 3Y21.64%
5. SEM Dividend Analysis
5.1 Amount
- SEM has a Yearly Dividend Yield of 1.68%.
- Compared to an average industry Dividend Yield of 0.48, SEM pays a better dividend. On top of this SEM pays more dividend than 90.10% of the companies listed in the same industry.
- SEM's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
5.2 History
- SEM has paid a dividend for at least 10 years, which is a reliable track record.
- SEM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
- SEM pays out 21.99% of its income as dividend. This is a sustainable payout ratio.
DP21.99%
EPS Next 2Y15.26%
EPS Next 3Y21.64%
SEM Fundamentals: All Metrics, Ratios and Statistics
16.25
-0.01 (-0.06%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)02-19 2026-02-19/amc
Earnings (Next)04-29 2026-04-29/amc
Inst Owners82.91%
Inst Owner Change-3.76%
Ins Owners11.06%
Ins Owner Change0.41%
Market Cap2.01B
Revenue(TTM)5.45B
Net Income(TTM)142.92M
Analysts77.78
Price Target17.88 (10.03%)
Short Float %3.39%
Short Ratio4.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
Yearly Dividend0.25
Dividend Growth(5Y)N/A
DP21.99%
Div Incr Years0
Div Non Decr Years3
Ex-Date03-02 2026-03-02 (0.0625)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)9.41%
Min EPS beat(2)-31%
Max EPS beat(2)49.82%
EPS beat(4)2
Avg EPS beat(4)11.24%
Min EPS beat(4)-31%
Max EPS beat(4)49.82%
EPS beat(8)3
Avg EPS beat(8)-11.03%
EPS beat(12)7
Avg EPS beat(12)-1.92%
EPS beat(16)8
Avg EPS beat(16)-6.67%
Revenue beat(2)2
Avg Revenue beat(2)1.44%
Min Revenue beat(2)1.43%
Max Revenue beat(2)1.45%
Revenue beat(4)2
Avg Revenue beat(4)-0.51%
Min Revenue beat(4)-3.62%
Max Revenue beat(4)1.45%
Revenue beat(8)4
Avg Revenue beat(8)-1.37%
Revenue beat(12)8
Avg Revenue beat(12)-0.69%
Revenue beat(16)10
Avg Revenue beat(16)5.67%
PT rev (1m)-3.49%
PT rev (3m)-3.49%
EPS NQ rev (1m)4.58%
EPS NQ rev (3m)4.58%
EPS NY rev (1m)0%
EPS NY rev (3m)2.41%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)-0.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.13 | ||
| Fwd PE | 12.27 | ||
| P/S | 0.37 | ||
| P/FCF | 17.16 | ||
| P/OCF | 5.81 | ||
| P/B | 1.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.01 |
EPS(TTM)1.15
EY7.08%
EPS(NY)1.32
Fwd EY8.15%
FCF(TTM)0.95
FCFY5.83%
OCF(TTM)2.8
OCFY17.22%
SpS44.04
BVpS13.77
TBVpS-6.11
PEG (NY)0.93
PEG (5Y)N/A
Graham Number18.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.44% | ||
| ROE | 8.38% | ||
| ROCE | 6.91% | ||
| ROIC | 5.27% | ||
| ROICexc | 5.3% | ||
| ROICexgc | 10.74% | ||
| OM | 6.17% | ||
| PM (TTM) | 2.62% | ||
| GM | 11.54% | ||
| FCFM | 2.15% |
ROA(3y)3.12%
ROA(5y)3.34%
ROE(3y)13.23%
ROE(5y)17.79%
ROIC(3y)4.28%
ROIC(5y)4.69%
ROICexc(3y)4.32%
ROICexc(5y)4.74%
ROICexgc(3y)8.45%
ROICexgc(5y)10.81%
ROCE(3y)5.62%
ROCE(5y)6.16%
ROICexgc growth 3Y36.24%
ROICexgc growth 5Y-11.26%
ROICexc growth 3Y45.51%
ROICexc growth 5Y-3.96%
OM growth 3Y25.21%
OM growth 5Y-6.51%
PM growth 3Y-8.86%
PM growth 5Y-10.34%
GM growth 3Y9.83%
GM growth 5Y-4.91%
F-Score5
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 15.74 | ||
| Debt/EBITDA | 3.82 | ||
| Cap/Depr | 163.38% | ||
| Cap/Sales | 4.2% | ||
| Interest Coverage | 2.79 | ||
| Cash Conversion | 72.71% | ||
| Profit Quality | 82.03% | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 1.62 |
F-Score5
WACC8.14%
ROIC/WACC0.65
Cap/Depr(3y)127.38%
Cap/Depr(5y)112.75%
Cap/Sales(3y)4.41%
Cap/Sales(5y)4.06%
Profit Quality(3y)122.64%
Profit Quality(5y)96.78%
High Growth Momentum
Growth
EPS 1Y (TTM)-30.3%
EPS 3Y-2.22%
EPS 5Y-9.36%
EPS Q2Q%223.08%
EPS Next Y15.13%
EPS Next 2Y15.26%
EPS Next 3Y21.64%
EPS Next 5YN/A
Revenue 1Y (TTM)5.12%
Revenue growth 3Y5.76%
Revenue growth 5Y-0.29%
Sales Q2Q%6.41%
Revenue Next Year4.33%
Revenue Next 2Y4.74%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y25.29%
EBIT growth 3Y32.43%
EBIT growth 5Y-6.78%
EBIT Next Year43.55%
EBIT Next 3Y18.69%
EBIT Next 5YN/A
FCF growth 1Y-60.35%
FCF growth 3Y7.47%
FCF growth 5Y-33.2%
OCF growth 1Y-33.1%
OCF growth 3Y6.75%
OCF growth 5Y-19.55%
SELECT MEDICAL HOLDINGS CORP / SEM FAQ
Can you provide the ChartMill fundamental rating for SELECT MEDICAL HOLDINGS CORP?
ChartMill assigns a fundamental rating of 5 / 10 to SEM.
What is the valuation status for SEM stock?
ChartMill assigns a valuation rating of 7 / 10 to SELECT MEDICAL HOLDINGS CORP (SEM). This can be considered as Undervalued.
Can you provide the profitability details for SELECT MEDICAL HOLDINGS CORP?
SELECT MEDICAL HOLDINGS CORP (SEM) has a profitability rating of 5 / 10.
What are the PE and PB ratios of SELECT MEDICAL HOLDINGS CORP (SEM) stock?
The Price/Earnings (PE) ratio for SELECT MEDICAL HOLDINGS CORP (SEM) is 14.13 and the Price/Book (PB) ratio is 1.18.
Can you provide the financial health for SEM stock?
The financial health rating of SELECT MEDICAL HOLDINGS CORP (SEM) is 3 / 10.