The Pennant Group, Inc.

NasdaqGS:PNTG Stock Report

Market Cap: US$769.8m

Pennant Group Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: PNTG ($26.25) is trading above our estimate of fair value ($11.86)

Significantly Below Fair Value: PNTG is trading above our estimate of fair value.


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

PNTG 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/Revenue2x
Enterprise Value/EBITDA33.3x
PEG Ratio2.1x

Price to Earnings Ratio vs Peers

How does PNTG's PE Ratio compare to its peers?

The above table shows the PE ratio for PNTG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.9x
NRC National Research
18.5xn/aUS$561.5m
CCRN Cross Country Healthcare
10.7x-3.6%US$479.5m
AMN AMN Healthcare Services
13.7x17.7%US$1.9b
ADUS Addus HomeCare
32.8x14.6%US$2.2b
PNTG Pennant Group
48x23.3%US$769.8m

Price-To-Earnings vs Peers: PNTG is expensive based on its Price-To-Earnings Ratio (48x) compared to the peer average (18.9x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a17.3%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a17.3%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: PNTG is expensive based on its Price-To-Earnings Ratio (48x) compared to the US Healthcare industry average (25.1x).


Price to Earnings Ratio vs Fair Ratio

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

PNTG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio48x
Fair PE Ratio27.4x

Price-To-Earnings vs Fair Ratio: PNTG is expensive based on its Price-To-Earnings Ratio (48x) compared to the estimated Fair Price-To-Earnings Ratio (27.4x).


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 PNTG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$26.25
US$27.50
+4.8%
3.1%US$28.00US$26.00n/a4
Jul ’25US$23.40
US$25.50
+9.0%
2.0%US$26.00US$25.00n/a4
Jun ’25US$23.54
US$25.50
+8.3%
2.0%US$26.00US$25.00n/a4
May ’25US$21.26
US$22.00
+3.5%
3.2%US$23.00US$21.00n/a4
Apr ’25US$20.11
US$21.50
+6.9%
2.3%US$22.00US$21.00n/a4
Mar ’25US$18.28
US$19.50
+6.7%
16.4%US$22.00US$14.00n/a4
Feb ’25US$15.39
US$16.00
+4.0%
8.8%US$18.00US$14.00n/a4
Jan ’25US$13.92
US$14.50
+4.2%
6.0%US$16.00US$14.00n/a4
Dec ’24US$13.67
US$14.50
+6.1%
6.0%US$16.00US$14.00n/a4
Nov ’24US$10.75
US$14.25
+32.6%
7.6%US$16.00US$13.00n/a4
Oct ’24US$11.13
US$14.25
+28.0%
7.6%US$16.00US$13.00n/a4
Sep ’24US$12.04
US$14.25
+18.4%
7.6%US$16.00US$13.00n/a4
Aug ’24US$11.34
US$14.67
+29.3%
6.4%US$16.00US$14.00n/a3
Jul ’24US$12.28
US$15.33
+24.9%
6.1%US$16.00US$14.00US$23.403
Jun ’24US$12.00
US$15.33
+27.8%
6.1%US$16.00US$14.00US$23.543
May ’24US$13.93
US$16.75
+20.2%
7.8%US$18.00US$15.00US$21.264
Apr ’24US$14.28
US$16.60
+16.2%
7.2%US$18.00US$15.00US$20.115
Mar ’24US$15.05
US$16.60
+10.3%
7.2%US$18.00US$15.00US$18.285
Feb ’24US$13.27
US$15.40
+16.1%
15.1%US$18.00US$12.00US$15.395
Jan ’24US$10.98
US$15.40
+40.3%
15.1%US$18.00US$12.00US$13.925
Dec ’23US$10.47
US$15.40
+47.1%
15.1%US$18.00US$12.00US$13.675
Nov ’23US$13.05
US$18.00
+37.9%
22.5%US$23.00US$12.00US$10.755
Oct ’23US$10.41
US$19.60
+88.3%
12.3%US$23.00US$17.00US$11.135
Sep ’23US$15.30
US$19.60
+28.1%
12.3%US$23.00US$17.00US$12.045
Aug ’23US$13.46
US$17.00
+26.3%
23.2%US$23.00US$12.00US$11.344
Jul ’23US$12.88
US$18.50
+43.6%
14.6%US$23.00US$16.00US$12.284

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies

Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.