Nutex Health Inc. Common Stock (NUTX)

FairStock Score: 63/100 — STEADY

Key Financials

Strengths

• Generates $153 million in annual free cash flow (19.7% yield on market cap)
• High return on equity of 58.9% demonstrating efficient capital deployment

Concerns

• Revenue declining at 41.1% year-over-year signals potential demand weakness or market share loss
• Altman Z-Score of 1.3 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Nutex Health Inc. Common Stock is a micro-cap healthcare company valued at $774 million. The business generates $875 million in annual revenue with a 1.4% net margin and $153 million in free cash flow. From a quality standpoint, Nutex shows distressed Altman Z-Score of 1.3 warrants caution and extraordinary 59% return on equity. On valuation, the stock is attractively valued at 10.4x earnings, with trades above its Graham Number with a negative 6% margin. Growth dynamics show revenue growing at -41.1% and profit growth of -80.8%. Our composite FairStock Score of 63/100 reflects above-average fundamentals overall. This combination of reasonable valuation, solid returns, and conservative leverage makes it worth a closer look for value-oriented portfolios.

Bull Case

The market underappreciates Nutex's consistent 59% ROE at just 10x earnings—a re-rating toward sector peers could unlock 30-50% upside. With $153 million in annual free cash flow (19.7% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the healthcare space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer