Pennant Group, Inc.

Health Care
Medical/Nursing Services
www.pennantgroup.com

Earnings Score
Moat Score
Safety Score

Market Cap $837.17M
PE 37
Debt $0.00
Cash $24.25M
EV $812.92M
FCF $30.31M

Earnings

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Sales & Net Margins

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Earnings	$22.56M
EBIT	$38.12M
ROE	7%
ROA	6%
FCF	$30.31M
Equity	$311.97M
Growth Stability	19%
PE	37.11
PEG	1.34
PB	2.68
P/FCF	27.62
P/S	1.2
Price/Cash	0.03
Debt/Equity	0
Debt/FCF	0
Net Margins	3%
Gross Margins	20%
Op. Margins	5%
Earnings CAGR	9%
Sales Growth YoY	29%
Sales Growth QoQ	5%
Sales CAGR	13%
FCF CAGR	2%
Equity CAGR	19%
Earnings Stability	-0.32
Earnings Growth YoY	32%
Earnings Growth QoQ	-7%

Earnings CAGR 5Y	28%
Sales CAGR 5Y	14%
FCF CAGR 5Y	-4%
Equity CAGR 5Y	21%
Earnings CAGR 3Y	17%
Sales CAGR 3Y	17%
FCF CAGR 3Y	69%
Equity CAGR 3Y	31%
Market Cap	$837.17M
Revenue	$695.24M
Assets	$679.52M
Total Debt	$0.00
Cash	$24.25M
Shares Outstanding	31.19M
EV	812.92M
Earnings Score	6%
Moat Score	74%
Safety Score	69%
Final Score	49%
Working Capital	21.16M
Current Ratio	1.21
Gross Profit	$136.79M
Shares Growth 3y	3%
Equity Growth QoQ	67%
Equity Growth YoY	114%

Assets & ROA

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Stockholders Equity & ROE

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Pennant Group Inc is engaged in providing healthcare services to patients of all ages, including the growing senior population, in the United States. It operates in multiple lines of business including home health and hospice services which includes our home health, hospice, and home care businesses and Senior living which includes the company's assisted living, independent living, and memory care communities across Arizona, California, Colorado, Idaho, Iowa, Nevada, Oklahoma, Oregon, Texas, Utah, Washington, Wisconsin, and Wyoming. The majority of the revenue is generated from the Home Health and Hospice Services segment.

SEC Filings

Direct access to Pennant Group, Inc. (PNTG) Annual Reports (10K) and Quarterly Reports (10Q) from the SEC website.

2024
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2023
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2022
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31

Sector Comparison

How does Pennant Group, Inc. compare to its competitors?

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Peter Lynch's Chart

This chart shows the current pricing of Pennant Group, Inc. compared to its past. The addition of the earnings trend line provides further insights into the company's earnings power.

CAGR 9%

Stability -32%

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Pennant Group, Inc. Discounted Cash Flow

Fully customizable DCF calculator online for Pennant Group, Inc..

Years

Calculation mode

= $336M

	0	1	2	3	4	5	6	7	8	9	10	TV
fcf	$30M	$31M	$31M	$32M	$32M	$33M	$33M	$34M	$34M	$35M	$35M	$352M
DCF		$28M	$26M	$24M	$22M	$20M	$19M	$17M	$16M	$15M	$14M	$136M
Value	$336M

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

Years	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	12/2024	TTM
Net Margins	4%	5%	1%	4%	0%	1%	2%	3%	3%
ROA	-	21%	1%	4%	1%	2%	5%	6%	6%
ROE	-	24%	4%	15%	2%	5%	9%	7%	7%

Bad Net Margins (3.24%)

Net Margins are too low to guarantee profitability in case of higher costs or higher interest rates. Furthermore lower margins cause higher earnings’ volatility.

Safety and Stability

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Years	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	12/2024	TTM
Debt over FCF	-	0	6.52	0.19	-2.09	-12.27	2.56	0	0
Debt over Equity	-	0	0.26	0.08	0.45	0.5	0.44	0	0
Growth Stability	-	-	-	100%	19%	98%	100%	100%	19%

Good Debt/FCF ratio (0)

Net Margins are high enough to offer a good protection on the profits in case of higher costs or higher interests. Furthermore higher margins reduce earnings’ volatility.

Good Debt/Equity ratio (0)

The company is not overleveraged and has a good balance between equity and debt.

Bad Graham’s Stability (19%)

The company has a bad stability in its earnings, which is a sign of a bad competitive advantage.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Years	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	12/2024	CAGR 5Y
Revenue YoY growth	-	14%	18%	15%	12%	8%	15%	28%	14%
Earnings YoY growth	-	59%	-84%	511%	-86%	209%	101%	69%	28%
Equity YoY growth	-	9%	9%	42%	13%	10%	16%	114%	21%
FCF YoY growth	-	39%	-86%	1K%	-157%	-79%	-587%	21%	-4%