The Pennant Group, Inc. (PNTG) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-122.7%

-$9.19

vs $40.50 price

Levered DCF

-$3.69

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

2.76

Grey zone

Rating

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	32.73×	36.83×	30.93×	47.74×	305.29×	103.68×	361.42×	26.95×
P/B	2.93×	2.82×	2.96×	2.64×	5.95×	16.85×	12.95×	7.52×
P/S	1.03×	1.19×	0.76×	0.67×	1.49×	4.16×	2.72×	1.47×
EV / EBITDA	23.16×	24.21×	24.13×	36.55×	106.36×	81.72×	132.39×	17.8×
Gross margin	12.9%	13.5%	12.3%	12.4%	11.1%	14.0%	13.2%	14.8%
Operating margin	5.4%	5.5%	4.6%	2.7%	1.1%	4.8%	1.7%	7.2%
Net margin	3.1%	3.2%	2.5%	1.4%	0.6%	4.0%	0.8%	5.5%
Current ratio	1.14×	1.21×	1.12×	1.05×	1.06×	0.67×	0.76×	0.99×
Debt / equity	1.36×	0.93×	2.35×	2.7×	3.22×	3.3×	4.71×	0×
Interest coverage	7.7×	5.48×	4.25×	3.34×	2.42×	15.27×	13.83×	0×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	1.3%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	455.6%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	8.9%	7.7%	9.5%	5.5%	2.4%	16.3%	3.6%	28.1%
Return on invested capital	4.5%	4.9%	3.7%	2.3%	0.8%	3.8%	0.8%	23.7%
Return on assets	3.1%	3.3%	2.5%	1.3%	0.5%	3.1%	0.6%	16.0%
Free cash flow yield	2.7%	3.7%	6.0%	-1.6%	-3.7%	2.6%	0.3%	4.7%
Earnings yield	3.0%	2.7%	3.2%	2.1%	0.4%	1.0%	0.3%	3.7%
Enterprise value	$1.4B	$1.1B	$739.3M	$643.6M	$1B	$1.9B	$1.3B	$420M
Net debt / EBITDA	7.17×	5.6×	10.56×	18.43×	37.02×	13.39×	35.28×	-0×
Cash conversion cycle (days)	36	31	33	29	35	33	24	25