The Pennant Group, Inc.
- Open
- 37.29
- Day high
- 38.54
- Day low
- 37.29
- Prev close
- 36.95
- Volume
- 216K
- Mkt cap
- $1.3B
- P/E (TTM)
- 42.4
- EPS (TTM)
- $0.89
- P/B
- 3.8
- P/S
- 1.3
- Yield
- —
- Per share
- —
- ▼Insiders net selling -$158K over the last 3 months (0 open-market buys, 4 sales)
- 🏛Institutions mixed (13F)
The Pennant Group, Inc. (PNTG) is a Healthcare company listed on NASDAQ. The stock is up 37% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 4 sales (SEC Form 4).
The Pennant Group, Inc. (PNTG) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 3 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
PNTG earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 7, 2026 | $0.31 | $0.32 | +3.2% | $285M | +1.6% |
| Feb 26, 2026 | $0.31 | $0.34 | +9.7% | $289M | +3.4% |
| Nov 5, 2025 | $0.29 | $0.30 | +3.4% | $229M | -16.8% |
| Aug 6, 2025 | $0.26 | $0.27 | +3.8% | $220M | +2.3% |
| Feb 27, 2025 | $0.24 | $0.24 | +0.0% | $189M | +1.6% |
| Feb 28, 2024 | $0.22 | $0.22 | +0.0% | $146M | +5.3% |
| May 4, 2023 | $0.15 | $0.13 | -13.3% | $126M | +3.4% |
| Feb 23, 2023 | $0.18 | $0.18 | +0.0% | $125M | +7.0% |
| Feb 28, 2022 | $0.15 | $0.07 | -53.3% | $112M | +1.9% |
| May 6, 2021 | $0.18 | $0.11 | -38.9% | $106M | -21.8% |
| Feb 24, 2021 | $0.20 | $0.17 | -15.0% | $108M | -13.0% |
| Nov 10, 2020 | $0.17 | $0.18 | +5.9% | $98M | +6.3% |
PNTG insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| May 27, 2026 | Guerisoli Brentofficer: Chief Executive Officer | Sell | 200 | $35.10 |
| May 27, 2026 | Guerisoli Brentofficer: Chief Executive Officer | Sell | 2,254 | $35.08 |
| May 27, 2026 | Guerisoli Brentofficer: Chief Executive Officer | Option | 4,463 | $3.84 |
| May 27, 2026 | Guerisoli Brentofficer: Chief Executive Officer | Sell | 22 | $34.86 |
| May 27, 2026 | Guerisoli Brentofficer: Chief Executive Officer | Sell | 2,032 | $35.08 |
| Apr 17, 2026 | Guerisoli Brentofficer: Chief Executive Officer | Grant | 11,260 | — |
| Apr 17, 2026 | Morris Gregory K Sr.director | Grant | 1,900 | — |
| Apr 17, 2026 | Walbom Lynetteofficer: Chief Financial Officer | Grant | 8,025 | — |
| Apr 17, 2026 | COVEY STEPHEN M Rdirector | Grant | 1,900 | — |
| Apr 17, 2026 | SMITH BARRY Mdirector | Grant | 1,900 | — |
| Apr 17, 2026 | Cheney Kirk Sterlingofficer: EVP, GC and Corp Secy | Grant | 2,874 | — |
| Apr 17, 2026 | Snapper Suzanne D.director | Grant | 1,900 | — |
| Apr 17, 2026 | Christensen Christopher R.director | Grant | 1,900 | — |
| Apr 17, 2026 | Nackel John G.director | Grant | 1,900 | — |
| Apr 17, 2026 | Lamb Scott Edirector | Grant | 2,400 | — |
Source: PNTG SEC Form 4 filings, latest May 27, 2026. For informational purposes only — not investment advice.
See the full PNTG insider & 13F page →The Pennant Group, Inc. company profile
Overview
The Pennant Group, Inc. (NASDAQ:PNTG) is a healthcare services company founded in 2019 and headquartered in Eagle, Idaho. The company was established as a spinoff from The Ensign Group and went public in October 2019. Pennant operates healthcare facilities across 14 western and midwestern states, focusing on providing essential healthcare services to aging populations through its decentralized leadership model that emphasizes local operational excellence and community-based care delivery.
Business
The Pennant Group operates in the post-acute and senior healthcare services industry through two primary business segments. The Home Health and Hospice Services segment represents approximately 75% of total revenue and provides in-home medical care to patients who need skilled nursing, therapy services, or end-of-life care but don't require hospitalization. Home health services include clinical nursing care, physical therapy, occupational therapy, speech therapy, medical social work, and home health aide services for patients recovering from illness, surgery, or managing chronic conditions. Hospice services provide comprehensive end-of-life care including pain management, emotional support, and counseling for terminally ill patients and their families. This segment operates 88 agencies across multiple states. The Senior Living Services segment accounts for approximately 25% of revenue and operates 54 communities with over 4,100 units. These facilities provide residential accommodations, meals, housekeeping, activities, and assistance with daily living activities for seniors who maintain some independence but need varying levels of support. Unlike nursing homes that provide skilled medical care, senior living communities focus on helping residents maintain their quality of life while receiving help with tasks like bathing, dressing, medication management, and mobility. Both segments serve the growing demographic of aging Americans who prefer to receive care in community-based settings rather than institutional environments. The company's business model emphasizes local leadership and community integration, with each facility operated by locally-trained leaders who understand their specific market dynamics.
Revenue model
Pennant generates revenue primarily through reimbursement from government programs and private insurance for its home health and hospice services, and through private-pay and Medicaid funding for its senior living facilities. In the Home Health and Hospice segment, Medicare provides the majority of reimbursement under fee-for-service and Medicare Advantage programs, with additional revenue from Medicaid and private insurance. Hospice care is reimbursed on a per-day basis, while home health follows an episodic payment model based on patient conditions and required services. The Senior Living segment operates on a monthly fee structure where residents pay for room, board, and care services. Approximately 70% of senior living revenue comes from private-pay residents, while 30% is covered by Medicaid and state assistance programs. Average monthly revenue per occupied room has grown to nearly $5,000, reflecting the company's focus on higher-acuity residents who require more comprehensive services. Several factors influence the company's margins and profitability. Positive margin drivers include an aging population increasing demand for services, the company's ability to achieve premium pricing through high-quality care delivery, operational efficiencies from its decentralized leadership model, and successful integration of acquisitions. The company has demonstrated pricing power, with senior living revenue per occupied room growing 8-11% annually. Margin pressures come from government reimbursement rate constraints, with Medicare and Medicaid rates often growing slower than cost inflation. Labor costs represent the largest expense category, and while wage inflation has moderated to 3-5% annually, competition for skilled healthcare workers remains intense. Regulatory compliance costs continue to increase, and the company faces exposure to potential Medicaid funding changes that could affect approximately 13-15% of its business. Additionally, the company's growth-through-acquisition strategy requires successful integration execution to maintain margins.
Competitive moat
Pennant's competitive moat is moderate but strengthening, built primarily around its differentiated operational model and local market positioning. The company's decentralized leadership approach creates a significant operational advantage by developing local CEOs who understand their specific communities and can build strong referral relationships with hospitals, physicians, and social workers. This model has proven effective in achieving superior clinical outcomes, with home health agencies averaging 4+ star CMS ratings and hospitalization rates below national averages. The company benefits from high switching costs and relationship-based referrals in healthcare services. Once established in a market, Pennant's facilities develop deep relationships with local healthcare systems, making it difficult for competitors to displace them. The company's focus on clinical excellence and community integration creates customer loyalty among both referral sources and residents' families. However, the moat faces several challenges. The healthcare services industry has relatively low barriers to entry for new competitors, and large healthcare systems increasingly develop their own post-acute care capabilities. Reimbursement dependency on government programs creates vulnerability to policy changes and rate pressures. The company also faces competition from larger, well-capitalized players like Amedisys, LHC Group (now part of UnitedHealth), and Brookdale in senior living. The company's acquisition-driven growth strategy both strengthens and potentially weakens its moat. Successful acquisitions expand market presence and create operational synergies, but integration challenges and the need for continuous capital deployment to maintain growth could strain resources. The pending UnitedHealth-Amedisys transaction could create a significantly larger competitor with greater resources and market power.
Risks & safety
The company presents a moderate margin of safety with some financial constraints but improving fundamentals. **Liquidity and Solvency:** - Cash position of $5.2 million is quite low relative to operations - Current ratio of 1.41x provides modest working capital cushion - Debt-to-equity ratio of 1.10x indicates moderate leverage - Negative free cash flow of -$23.2 million in Q1 2025 raises concerns about cash generation - Access to $250 million revolving credit facility provides liquidity backstop **Valuation Metrics:** - Trading at 27.9x P/E ratio, which appears expensive for a healthcare services company - EV/EBITDA of 26.4x suggests high valuation relative to cash generation - Price-to-book ratio of 2.86x indicates modest premium to book value - Graham number of $6.69 suggests potential overvaluation at current price of $26.84 **Other Considerations:** - Strong revenue growth of 33.7% year-over-year provides operational momentum - Improving EBITDA margins demonstrate operational efficiency gains - Exposure to government reimbursement creates regulatory and policy risks - Acquisition-dependent growth model requires continued capital access
Recent development
Over the past few years, Pennant has executed a transformative growth strategy centered on strategic acquisitions and operational excellence initiatives. The company completed its largest acquisition with the $80 million purchase of Signature Healthcare at Home, significantly expanding its presence in Washington, Idaho, and Oregon markets. This acquisition alone is expected to add substantial revenue and demonstrates management's ability to execute complex transactions. The company has also pursued innovative partnership models, including a joint venture with John Muir Health and a management agreement with Hartford HealthCare. These partnerships allow Pennant to expand its geographic footprint and service capabilities while sharing risks and leveraging established healthcare systems' referral networks. Leadership development has become a core strategic differentiator, with the company adding over 60 CEOs to its training program and elevating nearly 40 internal clinical leaders to C-level positions. This focus on developing local operational leaders supports the company's decentralized model and creates a sustainable competitive advantage through superior local market knowledge and community relationships. The company has also made significant investments in clinical excellence and quality outcomes, achieving 4+ star CMS ratings for 73.5% of its home health agencies. These quality metrics not only support premium reimbursement rates but also strengthen referral relationships with healthcare providers who prioritize patient outcomes. Recent financial developments include expanding the revolving credit facility to $250 million and completing a follow-on equity offering to fund growth initiatives. The company has also demonstrated improved capital allocation discipline, with management focusing on markets where they can achieve strong returns and have adequate leadership capabilities.
PNTG company profile · for informational purposes only — not investment advice.
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