Stock Analysis Report

Executive Summary

National HealthCare Corporation operates, manages, and provides services to skilled nursing facilities, assisted living facilities, independent living facilities, and home health care programs.


Trading at 29.6% below its fair value

Earnings grew by 15.7% over the past year

Pays a reliable dividend of 2.91%

Risk Analysis

No risks detected for NHC from our risk checks.

Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.

Similar Companies

Share Price & News

How has National HealthCare's share price performed over time and what events caused price changes?

Latest Share Price and Events

Stable Share Price: NHC has not had significant price volatility in the past 3 months.

Market Performance

7 Day Return




US Healthcare


US Market

1 Year Return




US Healthcare


US Market

Return vs Industry: NHC underperformed the US Healthcare industry which returned -3.8% over the past year.

Return vs Market: NHC exceeded the US Market which returned -12.7% over the past year.

Shareholder returns

7 Day7.7%14.3%7.2%
30 Day0.4%-4.7%-12.6%
90 Day-13.8%-15.0%-19.4%
1 Year2.8%0.1%3.3%1.9%-8.5%-10.4%
3 Year15.6%6.4%23.8%18.2%15.8%8.3%
5 Year35.1%18.1%28.2%19.5%35.8%21.0%

Price Volatility Vs. Market

How volatile is National HealthCare's share price compared to the market and industry in the last 5 years?

Simply Wall St News


Is National HealthCare undervalued compared to its fair value and its price relative to the market?


Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: NHC ($71.4) is trading below our estimate of fair value ($101.38)

Significantly Below Fair Value: NHC is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: NHC is good value based on its PE Ratio (16x) compared to the Healthcare industry average (19.4x).

PE vs Market: NHC is poor value based on its PE Ratio (16x) compared to the US market (13x).

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate NHC's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: NHC is good value based on its PB Ratio (1.4x) compared to the US Healthcare industry average (2.4x).

Next Steps

Future Growth

How is National HealthCare forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?


Forecasted Healthcare industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as National HealthCare has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Next Steps

Past Performance

How has National HealthCare performed over the past 5 years?


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NHC has high quality earnings.

Growing Profit Margin: NHC's current net profit margins (6.8%) are higher than last year (6%).

Past Earnings Growth Analysis

Earnings Trend: NHC's earnings have grown by 10.7% per year over the past 5 years.

Accelerating Growth: NHC's earnings growth over the past year (15.7%) exceeds its 5-year average (10.7% per year).

Earnings vs Industry: NHC earnings growth over the past year (15.7%) exceeded the Healthcare industry 14.1%.

Return on Equity

High ROE: NHC's Return on Equity (8.7%) is considered low.

Next Steps

Financial Health

How is National HealthCare's financial position?

Financial Position Analysis

Short Term Liabilities: NHC's short term assets ($341.1M) exceed its short term liabilities ($194.8M).

Long Term Liabilities: NHC's short term assets ($341.1M) exceed its long term liabilities ($312.8M).

Debt to Equity History and Analysis

Debt Level: NHC's debt to equity ratio (1.3%) is considered satisfactory.

Reducing Debt: NHC's debt to equity ratio has reduced from 1.4% to 1.3% over the past 5 years.

Debt Coverage: NHC's debt is well covered by operating cash flow (1001%).

Interest Coverage: NHC earns more interest than it pays, so coverage of interest payments is not a concern.

Balance Sheet

Inventory Level: NHC has a high level of physical assets or inventory.

Debt Coverage by Assets: NHC's debt is covered by short term assets (assets are 34.1x debt).

Next Steps


What is National HealthCare's current dividend yield, its reliability and sustainability?


Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: NHC's dividend (2.91%) is higher than the bottom 25% of dividend payers in the US market (1.98%).

High Dividend: NHC's dividend (2.91%) is low compared to the top 25% of dividend payers in the US market (5.49%).

Stability and Growth of Payments

Stable Dividend: NHC's dividends per share have been stable in the past 10 years.

Growing Dividend: NHC's dividend payments have increased over the past 10 years.

Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (46.1%), NHC's dividend payments are well covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.

Next Steps


How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Steve Flatt (63yo)





Dr. Stephen F. Flatt, also known as Steve, has been the Chief Executive Officer of National HealthCare Corporation since January 1, 2017. Dr. Flatt served as the President of National Healthcare Corp. from ...

CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD1.35M) is below average for companies of similar size in the US market ($USD3.18M).

Compensation vs Earnings: Steve's compensation has increased by more than 20% in the past year.

Leadership Team

Stephen Flatt
CEO & Director3.17yrsUS$1.35m0.32% $3.7m
R. Ussery
President & COO3.17yrsUS$1.25m0.95% $10.9m
Brian Kidd
Senior VP3.17yrsUS$563.28k0.11% $1.2m
Jeffrey Smith
Senior VP & Treasurer3.17yrsUS$677.26k0.018% $201.3k
Carl Adams
no datano datano data
B. Flatt
Senior VP & Chief Information Officer3yrsno data0.023% $262.0k
Josh McCreary
Senior VP0.83yrno data0.0031% $34.9k
Leroy McIntosh
Senior Vice President of Ancillary Services & Service Line Strategy2.83yrsno data0.018% $208.8k
Vicki Dodson
Senior Vice President of Patient Services0.67yrno data0.0073% $83.5k
Kristina Hulsey
Secretaryno datano datano data


Average Tenure


Average Age

Experienced Management: NHC's management team is considered experienced (3.1 years average tenure).

Board Members

Stephen Flatt
CEO & Director3.17yrsUS$1.35m0.32% $3.7m
W. Adams
Director46.17yrsUS$186.59k4.18% $47.7m
Robert Adams
Chairman of the Board11.17yrsUS$186.59k2.78% $31.8m
Richard LaRoche
Independent Director18.17yrsUS$198.59k2.19% $25.0m
Ernest Burgess
Independent Director28.17yrsUS$186.59k0.62% $7.1m
Emil Hassan
Independent Director15.83yrsUS$190.59k0.39% $4.5m
James Abernathy
Independent Director17.17yrsUS$190.59k0.16% $1.9m


Average Tenure


Average Age

Experienced Board: NHC's board of directors are seasoned and experienced ( 17.2 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Company Information

National HealthCare Corporation's company bio, employee growth, exchange listings and data sources

Key Information

  • Name: National HealthCare Corporation
  • Ticker: NHC
  • Exchange: AMEX
  • Founded: 1971
  • Industry: Health Care Facilities
  • Sector: Healthcare
  • Market Cap: US$1.143b
  • Shares outstanding: 15.33m
  • Website:

Number of Employees


  • National HealthCare Corporation
  • 100 East Vine Street
  • Murfreesboro
  • Tennessee
  • 37130
  • United States


TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on


National HealthCare Corporation operates, manages, and provides services to skilled nursing facilities, assisted living facilities, independent living facilities, and home health care programs. 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 subacute 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 owns, leases, and manages independent living facilities that provide specially designed residential units for the active and ambulatory elderly, as well as offers various ancillary services for its residents, including restaurants, activity rooms, and social areas. In addition, it provides health care programs that offer skilled services, such as infusion, wound care and physical, occupational, and speech therapies; operates pharmacies; offers management, accounting, financial, and insurance services; and leases its properties to third party operators. As of December 31, 2019, the company operated 75 skilled nursing facilities with 9,513 licensed beds; 25 assisted living facilities; 5 independent living facilities; 35 homecare programs; and 4 pharmacy locations. National HealthCare Corporation was founded in 1971 and is based in Murfreesboro, Tennessee. 

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 01:43
End of Day Share Price2020/03/30 00:00
Annual Earnings2019/12/31

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.