NRC Health Common Stock (NRC)

FairStock Score: 36/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for a business with durable competitive advantages, honest accounting, and a price that leaves room for error. NRC Health sells subscription analytics and experience tools to healthcare organizations, which can create stickiness, but the numbers tell a more muted story. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $35.4M and net income was -$3.3M, or diluted EPS -$0.15. That followed fiscal Q1 2026 net income of $3.2M, so profitability is uneven. The filed annual figures show revenue slipping from $148.6M in fiscal year 2023 to $143.1M in fiscal year 2024 to $137.4M in fiscal year 2025, while net income fell from $31.0M to $24.8M to $11.6M. The computed Lynch category is SLOW GROWER - Shrinking, with profit down 20.8% a year over five years and revenue up only 0.6%. At the 2026-10-13 close of $20.17, FairStock's calculations show a P/E of 84.04, P/B of 67.23, EV/EBITDA of 22.75, FCF yield of 4.9%, and a Graham Number of $1.27, leaving no margin of safety. ROCE is 8.13%, FCF is $21.6M, Piotroski is 6/9, Altman Z is 1.89, and the dividend yield is 3.10%. The low beta of 0.38 may offer some defensiveness, but the business is not growing enough to justify such a rich price. I would want evidence that revenue and profits are stabilizing before calling this a bargain.

In plain English: NRC Health provides analytics and survey tools that help hospitals and health systems track patient and employee experience. The company still earns money over a full year and pays a dividend, but sales and profits have generally shrunk in recent years, and the latest quarter showed a loss. At the 2026-10-13 close of $20.17, the price looks expensive compared with the company's recent earnings and net assets, so it would need a clear turnaround to look reasonably priced.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer