(SEM) Select Medical Holdings - Overview
Sector: Healthcare | Industry: Medical Care Facilities | Exchange: NYSE (USA) | Market Cap: 2.049m USD | Total Return: 12.9% in 12m
Avg Turnover: 26.8M
EPS Trend: -73.9%
Qual. Beats: -2
Rev. Trend: -68.1%
Qual. Beats: 0
Warnings
Fakeout
Tailwinds
No distinct edge detected
Select Medical Holdings Corporation (SEM) operates a diversified network of post-acute healthcare facilities across the United States. The company’s portfolio is organized into three primary segments: critical illness recovery hospitals, inpatient rehabilitation hospitals, and outpatient rehabilitation clinics. These facilities provide specialized care for complex medical conditions, including respiratory failure, traumatic brain injuries, and spinal cord disorders, as well as physical and occupational therapy for orthopedic and work-related injuries.
The post-acute care sector typically relies on a referral-based business model, where patients are transitioned from general acute care hospitals to specialized settings to reduce overall healthcare costs. This segment of the industry is heavily influenced by federal reimbursement policies, particularly Medicares Prospective Payment Systems for Long-Term Care Hospitals and Inpatient Rehabilitation Facilities. Select Medical often utilizes joint ventures with large healthcare systems to expand its geographic footprint and integrate clinical services.
For a detailed breakdown of the companys valuation metrics and historical performance, consider reviewing the data available on ValueRay.
- Concentrix spin-off creates pure-play health services entity and alters valuation multiples
- Labor costs and clinical staffing shortages pressure inpatient segment operating margins
- Medicare reimbursement rate adjustments impact critical illness recovery hospital revenue streams
- Joint venture partnerships with major healthcare systems drive rehabilitation facility expansion
- High interest rates increase debt service costs for capital-intensive hospital operations
| Net Income: 133.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA -4.36 > 1.0 |
| NWC/Revenue: 2.57% < 20% (prev 3.45%; Δ -0.88% < -1%) |
| CFO/TA 0.06 > 3% & CFO 346.5m > Net Income 133.5m |
| Net Debt (4.08b) to EBITDA (506.7m): 8.04 < 3 |
| Current Ratio: 1.15 > 1.5 & < 3 |
| Outstanding Shares: last quarter (123.5m) vs 12m ago -2.14% < -2% |
| Gross Margin: 10.65% > 18% (prev 0.10%; Δ 1.06k% > 0.5%) |
| Asset Turnover: 94.07% > 50% (prev 75.03%; Δ 19.04% > 0%) |
| Interest Coverage Ratio: 3.12 > 6 (EBITDA TTM 506.7m / Interest Expense TTM 116.4m) |
| A: 0.02 (Total Current Assets 1.11b - Total Current Liabilities 970.4m) / Total Assets 6.04b |
| B: 0.14 (Retained Earnings 872.2m / Total Assets 6.04b) |
| C: 0.06 (EBIT TTM 363.5m / Avg Total Assets 5.87b) |
| D: 0.22 (Book Value of Equity 867.0m / Total Liabilities 3.94b) |
| Altman-Z'' = 1.27 = BB |
| DSRI: 0.81 (Receivables 949.5m/908.2m, Revenue 5.52b/4.27b) |
| GMI: 0.92 (GM 10.65% / 9.79%) |
| AQI: 0.97 (AQ_t 0.48 / AQ_t-1 0.49) |
| SGI: 1.29 (Revenue 5.52b / 4.27b) |
| TATA: -0.04 (NI 133.5m - CFO 346.5m) / TA 6.04b) |
| Beneish M = -3.10 (Cap -4..+1) = AA |
As of May 27, 2026, the stock is trading at USD 16.54 with a total of 1,809,385 shares traded.
Over the past week, the price has changed by +0.36%,
over one month by +0.93%,
over three months by +11.75% and
over the past year by +12.93%.
Select Medical Holdings has received a consensus analysts rating of 4.50. Therefore, it is recommended to buy SEM.
- StrongBuy: 4
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 16.6 | 0.5% |
P/E Trailing = 15.4393
P/E Forward = 13.4228
P/S = 0.3711
P/B = 1.1667
P/EG = 2.2583
Revenue TTM = 5.52b USD
EBIT TTM = 363.5m USD
EBITDA TTM = 506.7m USD
Long Term Debt = 1.84b USD (from longTermDebt, last quarter)
Short Term Debt = 224.0m USD (from shortTermDebt, last quarter)
Debt = 4.10b USD (from shortLongTermDebtTotal, last quarter) + Leases 1.11b
Net Debt = 4.08b USD (calculated: Debt 4.10b - CCE 25.7m)
Enterprise Value = 6.12b USD (2.05b + Debt 4.10b - CCE 25.7m)
Interest Coverage Ratio = 3.12 (Ebit TTM 363.5m / Interest Expense TTM 116.4m)
EV/FCF = 52.24x (Enterprise Value 6.12b / FCF TTM 117.2m)
FCF Yield = 1.91% (FCF TTM 117.2m / Enterprise Value 6.12b)
FCF Margin = 2.12% (FCF TTM 117.2m / Revenue TTM 5.52b)
Net Margin = 2.42% (Net Income TTM 133.5m / Revenue TTM 5.52b)
Gross Margin = 10.65% ((Revenue TTM 5.52b - Cost of Revenue TTM 4.93b) / Revenue TTM)
Gross Margin QoQ = 12.34% (prev 7.85%)
Tobins Q-Ratio = 1.01 (Enterprise Value 6.12b / Total Assets 6.04b)
Interest Expense / Debt = 2.84% (Interest Expense 116.4m / Debt 4.10b)
Taxrate = 22.31% (18.3m / 82.1m)
NOPAT = 282.4m (EBIT 363.5m * (1 - 22.31%))
Current Ratio = 1.15 (Total Current Assets 1.11b / Total Current Liabilities 970.4m)
Debt / Equity = 2.34 (Debt 4.10b / totalStockholderEquity, last quarter 1.76b)
Debt / EBITDA = 8.04 (Net Debt 4.08b / EBITDA 506.7m)
Debt / FCF = 34.76 (Net Debt 4.08b / FCF TTM 117.2m)
Total Stockholder Equity = 1.70b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.28% (Net Income 133.5m / Total Assets 6.04b)
RoE = 7.83% (Net Income TTM 133.5m / Total Stockholder Equity 1.70b)
RoCE = 10.27% (EBIT 363.5m / Capital Employed (Equity 1.70b + L.T.Debt 1.84b))
RoIC = 5.33% (NOPAT 282.4m / Invested Capital 5.30b)
WACC = 4.75% (E(2.05b)/V(6.15b) * Re(9.84%) + D(4.10b)/V(6.15b) * Rd(2.84%) * (1-Tc(0.22)))
Discount Rate = 9.84% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -18.40 | Cagr: -0.11%
[DCF] Terminal Value 73.10% ; FCFF base≈214.0m ; Y1≈187.7m ; Y5≈151.6m
[DCF] Fair Price = N/A (negative equity: EV 2.43b - Net Debt 4.08b = -1.64b; debt exceeds intrinsic value)
EPS Correlation: -73.88 | EPS CAGR: -19.61% | SUE: -1.11 | # QB: -2
Revenue Correlation: -68.13 | Revenue CAGR: -12.86% | SUE: 0.01 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.29 | Chg30d=+0.27% | Revisions=+14% | Analysts=5
EPS next Quarter (2026-09-30): EPS=0.24 | Chg30d=+6.80% | Revisions=+50% | Analysts=5
EPS current Year (2026-12-31): EPS=1.23 | Chg30d=-1.35% | Revisions=-50% | GrowthEPS=+5.8% | GrowthRev=+4.6%
EPS next Year (2027-12-31): EPS=1.37 | Chg30d=+1.46% | Revisions=-33% | GrowthEPS=+11.8% | GrowthRev=+4.6%
[Analyst] Revisions Ratio: +50%