NRC HEALTH

NRCdata completeness 100%17 fiscal years on file
The thesis, from the filings

NRC HEALTH earns about 38% on invested capital, far above its ~9% cost of capital, and has bought back 13% of its shares over 5 years — the marks of a durable business run for its owners. The estimate methods put fair value between $8.15 and $14.33 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$148M1$151.6M2$148.6M3$143.1M3$137.4M3
Net income$37.5M4$31.8M5$31M6$24.8M6$11.6M6
Operating cash flow$46.3M7$36.3M8$38.1M9$34.6M9$26.5M9
Capital expenditure$5.51M10$9.84M11$15.8M12$15.4M12$10.7M12
Free cash flow (derived)$40.8M7$26.4M8$22.3M9$19.2M9$15.7M9
Total debt$26.6M13$22.3M14$66.3M15$57.9M16$75M16
Cash & equivalents$54.4M17$25M18$6.65M19$4.23M20$4.14M20
Diluted shares25.6M25.1M24.7M23.7M22.4M

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
$6.25
your share of equity
Profit it earned you last year
$5.18
Free cash flow it threw off
$7.03
Debt you’d be carrying
$33.5

10 shares is a claim on $6.25 of net worth that earned you $5.18 and generated $7.03 of cash last year, against $33.5 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
38% avg · 5y
FY21 67%FY22 47%FY23 29%FY24 31%FY25 14%

It earned about 38% on invested capital, year after year, against a ~9% cost of capital — the footprint of real pricing power. Competition usually drags returns like this back down; here it hasn't.

seeing a moat in the numbers →
Management signal · capital allocation
−13% shares · 5y

Share count is down 13% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has risen 182% 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

The 3 estimate methods that apply put fair value between $8.15 and $14.33 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$8.15
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth0.0%
  • fcfBase$19.2M
DCF · Growth Exit 5Y
$9.07
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth0.0%
  • fcfBase$19.2M
Earnings Power Value
$14.33
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$31M
  • growthAssumed0.0%
Graham Number
$26.51
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years0.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $9.07
The three cases
Bear0.0%$9.07
Base0.0%$9.07
Bull5.0%$12.03

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 0.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001437749-24-005690 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001437749-25-007867 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001437749-26-007002 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001437749-24-005690 (ProfitLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001437749-25-007867 (ProfitLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001437749-26-007002 (ProfitLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001437749-24-005690 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001437749-25-007867 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001437749-26-007002 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001437749-24-005690 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-31 · accession 0001437749-25-007867 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-31 · accession 0001437749-26-007002 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0001437749-23-005305 (LongTermDebt)
  14. 10-K · period ending 2022-12-31 · accession 0001437749-24-005690 (LongTermDebt)
  15. 10-K · period ending 2023-12-31 · accession 0001437749-25-007867 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2024-12-31 · accession 0001437749-26-007002 (LongTermDebtNoncurrent)
  17. 10-K · period ending 2021-12-31 · accession 0001437749-23-005305 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001437749-24-005690 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001437749-25-007867 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2024-12-31 · accession 0001437749-26-007002 (CashAndCashEquivalentsAtCarryingValue)