National HealthCare Corporation
$186.44
+3.9%National HealthCare Corporation operates, manages, and provides services to skilled nursing facilities, assisted living facilities, independent living facilities, homecare and hospice agencies, and a behavioral health hospital. Its skilled nursing facilities offer licensed therapy services, nutrition services, social services, activities, and housekeeping and laundry services, as well as medical services prescribed by physicians; and rehabilitative services, such as physical, speech, respiratory, and occupational therapy for patients recovering from strokes, heart attacks, orthopedic conditions, neurological illnesses, or other illnesses, injuries, or disabilities. The company's medical specialty units comprise memory care units and sub-cute nursing units that provide specialized care and programs for persons with Alzheimer's or related disorders; and assisted living centers offer personal care services and assistance with general activities of daily living, such as dressing, bathing, meal preparation, and medication management. It also offers behavioral health services to both adults and geriatric patients with psychiatric, emotional, and addictive disorders. In addition, it provides health care programs that offer skilled services, such as infusion, wound care and physical, occupational, and speech therapies; hospice care services; operates pharmacies; offers management, accounting, financial, and insurance services; and leases its properties to third party operators. As of February 18, 2022, the company operated 75 skilled nursing facilities with 9,473 beds, 24 assisted living facilities, five independent living facilities, one behavioral health hospital, 34 homecare agencies, and 28 hospice agencies. National HealthCare Corporation was founded in 1971 and is based in Murfreesboro, Tennessee.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is elevated (P/E 24.0).
Valuation inputs: P/E 24.0, earnings yield +4.2%, momentum +3.9%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is acceptable (ROE +11.2%, ROIC +8.2%).
Profitability stack: net margin +8.0%, ROE +11.2%, ROIC +8.2%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +29.6%, momentum +3.9%, net margin +8.0%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
National HealthCare Corporation Market vs Earnings Trajectory
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National HealthCare Corporation Fair Value Envelope
National HealthCare Corporation Profit Bridge
Profitability Analysis
Gross Margin
Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.
Operating Margin
Acceptable margins but limited operational leverage. Operating expense control is important.
Net Profit Margin
Moderate profitability with room for improvement. Monitor interest expenses and tax efficiency.
Effective Tax Rate
Moderate tax rate typical for most corporations. Represents standard tax burden on profits.
Profitability Insight
Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.
National HealthCare Corporation Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.
Cash Flow Quality Insight
Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.
National HealthCare Corporation Funding & Solvency Profile
Financial Health Analysis
Working Capital
Negative working capital indicates short-term liabilities exceed short-term assets—potential liquidity stress.
Asset Composition
National HealthCare Corporation Street Expectations Map
No Target Data
No analyst price targets available for nhc.
National HealthCare Corporation Insider Positioning
During the last 12 months, insiders have purchased $175K and sold $4.07M worth of NHC shares, resulting in $3.90M of net selling activity.
3 Months
949
174.86K
9.4K
1.83M
-1.7M
-$1.65M
3-6 Months
0
0.00
2.5K
342.14K
-342K
-$342K
6-9 Months
0
0.00
14.0K
1.90M
-1.9M
-$1.90M
9-12 Months
0
0.00
0
0.00
+0
+$0
Top Buyers
Piercey Lisa
Director
$175K
Top Sellers
Hassan Emil E
Director
$1.77M
Laroche Richard F Jr
Director
$1.46M
Shelly Timothy J.
Officer: Sr.Vp Operations
$708K
Flatt Stephen Fowler
Director, Officer: Ceo
$130K
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $3.90M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
4 insider sellers vs. 1 buyers. Widespread selling across multiple insiders may signal concerns.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
nhc Dividend History
Learning Layer
Related Guides
Build conviction on NHC by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.