MeritValue

Community Healthcare Trust Inc

CHCTdata completeness 100%11 fiscal years on file
The thesis, from the filings

Community Healthcare Trust Inc earns about 2% on equity, but has diluted owners by 15% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $2.98 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$2.92M1$3.58M2$4.16M2$1.22M2$121.2M3
Net income$22.5M4$22M5$7.71M6−$3.18M6$5.1M6
Operating cash flow$56.3M7$60.3M8$61.4M9$58.9M9$56.4M9
Capital expenditure$7.22M10$10.4M11$19M12$24.6M12$20.5M12
Free cash flow (derived)$49.1M7$49.9M8$42.4M9$34.2M9$35.9M9
Total debt$265.6M13$353M14$403.3M15$486M16$532.2M16
Cash & equivalents$2.35M17$11.2M18$3.49M19$4.38M20$3.34M20
Diluted shares23.3M23.6M25.2M26.5M26.9M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$159.88
your share of equity
Profit it earned you last year
$1.9
Free cash flow it threw off
$13.37
Debt you’d be carrying
$198.16

10 shares is a claim on $159.88 of net worth that earned you $1.9 and generated $13.37 of cash last year, against $198.16 of debt.

iii. Is this a good business?
Moat signal · return on equity
2% avg · 5y
FY21 5%FY22 4%FY23 2%FY24 -1%FY25 1%

It earned an average 2% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+15% shares · 5y

Share count is up 15% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 100% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
negative equity value — refusing to publish per-share figure
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth0.0%
  • fcfBase$35.9M
DCF · Growth Exit 5Y
not applicable
negative equity value — refusing to publish per-share figure
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth0.0%
  • fcfBase$35.9M
Earnings Power Value
$2.98
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$7.71M
  • growthAssumed0.0%
Graham Number
$5.36
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001631569-24-000024 (RevenueFromContractWithCustomerIncludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001631569-25-000015 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 10-K · period ending 2025-12-31 · accession 0001631569-26-000012 (Revenues)
  4. 10-K · period ending 2021-12-31 · accession 0001631569-24-000024 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001631569-25-000015 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001631569-26-000012 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001631569-24-000024 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001631569-25-000015 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001631569-26-000012 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001631569-24-000024 (PaymentsForCapitalImprovements)
  11. 10-K · period ending 2022-12-31 · accession 0001631569-25-000015 (PaymentsForCapitalImprovements)
  12. 10-K · period ending 2023-12-31 · accession 0001631569-26-000012 (PaymentsForCapitalImprovements)
  13. 10-K · period ending 2021-12-31 · accession 0001631569-23-000017 (LongTermDebt)
  14. 10-K · period ending 2022-12-31 · accession 0001631569-24-000024 (LongTermDebt)
  15. 10-K · period ending 2023-12-31 · accession 0001631569-25-000015 (LongTermDebt)
  16. 10-K · period ending 2024-12-31 · accession 0001631569-26-000012 (LongTermDebt)
  17. 10-K · period ending 2021-12-31 · accession 0001631569-23-000017 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001631569-24-000024 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001631569-25-000015 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2024-12-31 · accession 0001631569-26-000012 (CashAndCashEquivalentsAtCarryingValue)