National Research Corporation
National Research Corporation Fundamental Analysis
National Research Corporation (NRC) shows moderate financial fundamentals with a PE ratio of 23.72, profit margin of 8.44%, and ROE of 58.50%. The company generates $0.1B in annual revenue with weak year-over-year growth of -3.72%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 26.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze NRC's fundamental strength across five key dimensions:
Efficiency Score
WeakNRC struggles to generate sufficient returns from assets.
Valuation Score
ExcellentNRC trades at attractive valuation levels.
Growth Score
WeakNRC faces weak or negative growth trends.
Financial Health Score
WeakNRC carries high financial risk with limited liquidity.
Profitability Score
ModerateNRC maintains healthy but balanced margins.
Key Financial Metrics
Is NRC Expensive or Cheap?
P/E Ratio
NRC trades at 23.72 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, NRC's PEG of -0.84 indicates potential undervaluation.
Price to Book
The market values National Research Corporation at 19.67 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 6.99 times EBITDA. This is generally considered low.
How Well Does NRC Make Money?
Net Profit Margin
For every $100 in sales, National Research Corporation keeps $8.44 as profit after all expenses.
Operating Margin
Core operations generate 16.44 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $58.50 in profit for every $100 of shareholder equity.
ROA
National Research Corporation generates $8.60 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
National Research Corporation produces operating cash flow of $27.51M, showing steady but balanced cash generation.
Free Cash Flow
National Research Corporation generates strong free cash flow of $16.37M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.72 in free cash annually.
FCF Yield
NRC converts 5.51% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
23.72
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.84
vs 25 benchmark
P/B Ratio
Price to book value ratio
19.67
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.08
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
5.65
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.55
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.59
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
0.23
vs 25 benchmark
How NRC Stacks Against Its Sector Peers
| Metric | NRC Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 23.72 | 29.28 | Better (Cheaper) |
| ROE | 58.50% | 820.00% | Weak |
| Net Margin | 8.44% | -19731.00% (disorted) | Weak |
| Debt/Equity | 5.65 | 0.26 | Weak (High Leverage) |
| Current Ratio | 0.55 | 4.69 | Weak Liquidity |
| ROA | 8.60% | -17993.00% (disorted) | Weak |
NRC outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews National Research Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
16.91%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
-20.02%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
-11.50%
Industry Style: Defensive, Growth, Innovation
Declining