Question 1

What is the P/E ratio?

Accepted Answer

The price-to-earnings (P/E) ratio divides the stock price by earnings per share. It shows how much investors pay for each dollar of earnings. A higher P/E may indicate growth expectations, while a lower P/E could suggest undervaluation or slower growth.

Question 2

What is ROE (Return on Equity)?

Accepted Answer

ROE measures how effectively a company uses shareholders' equity to generate profit. It's calculated as net income divided by shareholders' equity. Higher ROE indicates more efficient use of equity capital — generally above 15% is considered strong.

Question 3

What is the current ratio?

Accepted Answer

The current ratio divides current assets by current liabilities, measuring a company's ability to pay short-term obligations. A ratio above 1.0 means the company has more short-term assets than debts; below 1.0 may signal liquidity risk.

Question 4

What is debt-to-equity ratio?

Accepted Answer

Debt-to-equity compares total debt to total shareholders' equity, indicating how much leverage a company uses. A higher ratio means more debt financing. Acceptable levels vary by industry — capital-intensive sectors like utilities typically carry higher ratios.

Question 5

How do NHC's ratios compare?

Accepted Answer

Compare National HealthCare's valuation ratios (P/E, P/B, EV/EBITDA) and profitability ratios (ROE, ROA, margins) against industry peers and historical trends in the table above. Quarterly data reveals recent changes in financial health.

Breakdown	FY 2025	FY 2024	FY 2023	FY 2022	FY 2021	FY 2020
Period Ending	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Valuation Ratios
P/E Ratio	17.87	16.47	21.29	41.03	7.56	24.36
Forward P/E	17.52	17.52	17.52	17.52	17.52	17.52
P/S Ratio	1.40	1.27	1.24	0.84	0.98	1.04
P/B Ratio	1.99	1.70	1.56	1.05	1.16	1.28
Price/Tangible Book	2.01	1.71	1.56	1.05	1.16	1.32
Price/FCF	14.33	20.85	17.03	-42.58	45.65	5.62
Price/OCF	11.51	15.49	12.76	104.53	16.83	5.02
Enterprise Value Ratios
EV/Revenue	1.27	1.24	1.10	0.76	0.87	0.95
EV/EBITDA	11.11	12.31	12.66	12.62	10.10	16.43
EV/EBIT	15.00	18.07	21.93	33.05	18.03	64.09
EV/FCF	12.96	20.38	15.12	-38.51	40.60	5.12
Profitability & Returns
Return on Equity (ROE)	0.12%	0.11%	0.07%	0.02%	0.16%	0.05%
Return on Assets (ROA)	0.06%	0.05%	0.03%	0.01%	0.03%	0.01%
Return on Invested Capital (ROIC)	0.08%	0.06%	0.04%	0.02%	0.05%	0.02%
Return on Capital Employed (ROCE)	0.10%	0.08%	0.05%	0.02%	0.05%	0.01%
Leverage & Solvency Ratios
Debt/Equity	0.04	0.18	0.07	0.10	0.15	0.24
Debt/EBITDA	0.50	1.63	0.94	1.92	1.80	2.00
Debt/FCF	0.59	2.69	1.12	-5.87	7.25	1.07
Liquidity Ratios
Current Ratio	1.82	1.81	1.89	1.79	1.62	1.62
Quick Ratio	1.56	1.50	1.55	1.43	1.34	1.47
Efficiency Ratios
Asset Turnover	0.99	0.92	0.88	0.81	0.78	0.74
Inventory Turnover	—	—	—	—	—	74.69
Yield & Distribution Ratios
Earnings Yield	0.06%	0.06%	0.05%	0.02%	0.13%	0.04%
FCF Yield	0.07%	0.05%	0.06%	-0.02%	0.02%	0.18%
Dividend Yield	0.02%	0.02%	0.03%	0.04%	0.03%	0.04%
Payout Ratio	0.32%	0.36%	0.53%	1.54%	0.23%	0.76%
Buyback Yield	0.00%	-0.01%	0.00%	0.00%	0.00%	0.00%
Total Return	0.02%	0.01%	0.03%	0.04%	0.03%	0.04%

National HealthCare (NHC) Financial Ratios

National HealthCare Financial Ratios Analysis

Frequently Asked Questions About National HealthCare Financial Ratios