(SEM) Select Medical Holdings - NYSE
Sector: Healthcare | Industry: Medical Care Facilities | Exchange: NYSE (USA) | Market Cap: 2.051m USD | Total Return: 13% in 12m
Avg Turnover: 17.8M
EPS Trend: -73.9%
Qual. Beats: -2
Rev. Trend: -68.1%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Select Medical Holdings Corporation is a US-based healthcare operator that runs three main business lines: critical illness recovery hospitals, inpatient rehabilitation hospitals, and outpatient rehabilitation clinics. Its critical illness recovery hospitals treat patients with complex conditions such as heart failure, respiratory failure, sepsis, neurological events, and post-surgical complications requiring extended recovery. The rehabilitation hospitals focus on therapy for brain and spinal cord injuries, strokes, amputations, neurological disorders, and orthopedic conditions, while the outpatient segment delivers physical, occupational, and speech therapy along with specialized programs for work injuries, hand therapy, pelvic health, and concussion recovery.
The company operates in the post-acute and rehabilitation care segment of the US healthcare industry, a niche that sits between acute hospital stays and home-based recovery and serves patients referred from general acute-care hospitals. Founded in 1996 and headquartered in Mechanicsburg, Pennsylvania, Select Medical is listed on the NYSE under the ticker SEM and is classified within the GICS Health Care Facilities sub-industry.
- Medicare reimbursement rate changes pressure hospital margins
- Critical illness recovery hospital admissions decline post-COVID surge
- Concentra divestiture reshapes capital allocation and debt profile
| 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 (518.2m): 7.86 < 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 9.79%; Δ 0.86% > 0.5%) |
| Asset Turnover: 94.07% > 50% (prev 75.03%; Δ 19.04% > 0%) |
| Interest Coverage Ratio: 3.22 > 6 (EBIT TTM 375.1m / 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 375.1m / Avg Total Assets 5.87b) |
| D: 0.45 (Book Value of Equity 1.76b / Total Liabilities 3.94b) |
| Altman-Z'' = 1.52 = BB |
| DSRI: 0.81 (Receivables 949.5m/908.2m, Revenue 5.52b/4.27b) |
| GMI: 0.92 (GM 9.79% / 10.65%) |
| 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 = -3.07 (Cap -4..+1) = AA |
As of June 26, 2026, the stock is trading at USD 16.55 with a total of 7,909,744 shares traded. Over the past week, the price has changed by +0.00%, over one month by +0.06%, over three months by +1.99% and over the past year by +13.00%.
Current recommended Stop Loss: 16.40 (which is 0.9% or 2.5 ATR below the current price).
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 = 15.4579
P/E Forward = 13.4409
P/S = 0.3715
P/B = 1.1681
P/EG = 2.2583
Revenue TTM = 5.52b USD
EBIT TTM = 375.1m USD
EBITDA TTM = 518.2m 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 = 6.13b USD (2.05b + Debt 4.10b - CCE 25.7m)
Interest Coverage Ratio = 3.22 (Ebit TTM 375.1m / Interest Expense TTM 116.4m)
EV/FCF = 52.26x (Enterprise Value 6.13b / FCF TTM 117.2m)
FCF Yield = 1.91% (FCF TTM 117.2m / Enterprise Value 6.13b)
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 6.13b / Total Assets 6.04b)
Interest Expense / Debt = 2.84% (Interest Expense 116.4m / Debt 4.10b)
Taxrate = 21.29% (55.1m / 258.7m)
NOPAT = 295.2m (EBIT 375.1m * (1 - 21.29%))
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 = 7.86 (Net Debt 4.08b / EBITDA 518.2m)
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 = 10.60% (EBIT 375.1m / Capital Employed (Equity 1.70b + L.T.Debt 1.84b))
RoIC = 5.60% (NOPAT 295.2m / Invested Capital 5.27b)
WACC = 4.67% (E(2.05b)/V(6.15b) * Re(9.54%) + D(4.10b)/V(6.15b) * Rd(2.84%) * (1-Tc(0.21)))
Discount Rate = 9.54% (= 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%