NextGen Healthcare, Inc.

NasdaqGS:NXGN Stock Report

Market Cap: US$1.6b

NextGen Healthcare Valuation

Is NXGN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of NXGN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NXGN ($23.94) is trading below our estimate of fair value ($27.43)

Significantly Below Fair Value: NXGN is trading below fair value, but not by a significant amount.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for NXGN?

Other financial metrics that can be useful for relative valuation.

NXGN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.4x
Enterprise Value/EBITDA30.8x
PEG Ration/a

Price to Sales Ratio vs Peers

How does NXGN's PS Ratio compare to its peers?

The above table shows the PS ratio for NXGN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.8x
CERT Certara
4.9x10.7%US$1.8b
TDOC Teladoc Health
0.6x0.8%US$1.5b
SDGR Schrödinger
6.4x17.3%US$1.3b
GDRX GoodRx Holdings
3.5x9.5%US$2.6b
NXGN NextGen Healthcare
2.3x6.7%US$1.6b

Price-To-Sales vs Peers: NXGN is good value based on its Price-To-Sales Ratio (2.3x) compared to the peer average (4.9x).


Price to Earnings Ratio vs Industry

How does NXGN's PE Ratio compare vs other companies in the US Healthcare Services Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a31.7%
n/an/an/a
No. of CompaniesPS048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a31.7%
n/an/an/a
No more companies

Price-To-Sales vs Industry: NXGN is expensive based on its Price-To-Sales Ratio (2.3x) compared to the US Healthcare Services industry average (1.9x).


Price to Sales Ratio vs Fair Ratio

What is NXGN's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NXGN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.3x
Fair PS Ratio1.6x

Price-To-Sales vs Fair Ratio: NXGN is expensive based on its Price-To-Sales Ratio (2.3x) compared to the estimated Fair Price-To-Sales Ratio (1.6x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst NXGN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Sep ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Aug ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Jul ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Jun ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
May ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Apr ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Mar ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Feb ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Jan ’25n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Dec ’24n/a
US$22.69
0%
11.5%US$24.00US$16.00n/a8
Nov ’24US$23.91
US$22.69
-5.1%
11.5%US$24.00US$16.00n/a8
Oct ’24US$23.73
US$22.71
-4.3%
11.6%US$24.00US$16.00n/a8
Sep ’24US$19.33
US$20.29
+5.0%
14.6%US$25.00US$16.00n/a10
Aug ’24US$16.64
US$20.00
+20.2%
16.2%US$25.00US$16.00n/a8
Jul ’24US$16.22
US$20.00
+23.3%
16.2%US$25.00US$16.00n/a8
Jun ’24US$15.59
US$20.25
+29.9%
15.2%US$25.00US$16.00n/a8
May ’24US$17.21
US$22.00
+27.8%
11.6%US$26.00US$19.00n/a8
Apr ’24US$17.41
US$21.71
+24.7%
12.0%US$26.00US$19.00n/a7
Mar ’24US$17.97
US$21.71
+20.8%
12.0%US$26.00US$19.00n/a7
Feb ’24US$18.78
US$21.57
+14.9%
12.8%US$26.00US$18.00n/a7
Jan ’24US$18.78
US$21.43
+14.1%
13.2%US$26.00US$18.00n/a7
Dec ’23US$20.57
US$21.43
+4.2%
13.2%US$26.00US$18.00n/a7
Nov ’23US$20.27
US$21.43
+5.7%
13.2%US$26.00US$18.00US$23.917
Oct ’23US$17.70
US$21.17
+19.6%
13.5%US$26.00US$18.00US$23.736

Analyst Forecast: Target price is lower than the current share price.


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