Select Medical Valuation

SEM Stock  USD 15.64  0.05  0.32%   
At this time, the company appears to be undervalued. Select Medical Holdings has a current Real Value of $17.99 per share. The regular price of the company is $15.64. Our model measures the value of Select Medical Holdings from inspecting the company fundamentals such as Shares Outstanding of 123.82 M, operating margin of 0.05 %, and Return On Equity of 0.077 as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Select Medical's valuation include:
Price Book
1.15
Enterprise Value
4.7 B
Enterprise Value Ebitda
9.8095
Price Sales
0.3624
Forward PE
12.9032
Undervalued
Today
15.64
Please note that Select Medical's price fluctuation is very steady at this time. Calculation of the real value of Select Medical Holdings is based on 3 months time horizon. Increasing Select Medical's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Select stock is determined by what a typical buyer is willing to pay for full or partial control of Select Medical Holdings. Since Select Medical is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Select Stock. However, Select Medical's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  15.64 Real  17.99 Target  18.4 Hype  15.53
The intrinsic value of Select Medical's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Select Medical's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
17.99
Real Value
19.94
Upside
Estimating the potential upside or downside of Select Medical Holdings helps investors to forecast how Select stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Select Medical more accurately as focusing exclusively on Select Medical's fundamentals will not take into account other important factors:
Earnings
Estimates
LowProjectedHigh
0.400.440.49
Details
Hype
Prediction
LowEstimatedHigh
13.5815.5317.48
Details
6 Analysts
Consensus
LowTarget PriceHigh
16.7418.4020.42
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Select Medical's intrinsic value based on its ongoing forecasts of Select Medical's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Select Medical's closest peers.

Select Medical Cash

106.86 Million

Select Revenue by Product

Select Medical Total Value Analysis

Select Medical Holdings is at this time forecasted to have company total value of 4.66 B with market capitalization of 1.95 B, debt of 2.7 B, and cash on hands of 59.69 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Select Medical fundamentals before making security assessment based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
4.66 B
1.95 B
2.7 B
59.69 M

Select Medical Investor Information

About 16.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 1.15. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Select Medical Holdings has Price/Earnings To Growth (PEG) ratio of 1.37. The entity last dividend was issued on the 12th of November 2025. The firm had 1856:1000 split on the 26th of November 2024. Select Medical Holdings may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.
Current ValueLast YearChange From Last Year 10 Year Trend
Operating Profit Margin0.10.0595
Way Up
Slightly volatile
Total Cash From Operating Activities341.8 M595.5 M
Way Down
Slightly volatile
Operating Income374 M308.6 M
Fairly Up
Slightly volatile

Select Medical Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Select Medical has an asset utilization ratio of 92.5 percent. This suggests that the Company is making $0.92 for each dollar of assets. An increasing asset utilization means that Select Medical Holdings is more efficient with each dollar of assets it utilizes for everyday operations.
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes

Select Medical Profitability Analysis

Taking into consideration Select Medical's profitability measurements, Select Medical's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Select Medical's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
2006-03-31
Previous Quarter
40.6 M
Current Value
28.8 M
Quarterly Volatility
27.6 M
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
At this time, Select Medical's Pretax Profit Margin is very stable compared to the past year. As of the 10th of February 2026, Operating Profit Margin is likely to grow to 0.10, while Gross Profit is likely to drop about 642.2 M.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.180.14
Significantly Up
Slightly volatile
Operating Profit Margin0.10.0595
Way Up
Slightly volatile
Return On Equity0.07570.11
Way Down
Very volatile
For Select Medical profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Select Medical Holdings to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Select Medical utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Select Medical's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Select Medical over time as well as its relative position and ranking within its peers.

Select Medical Earnings per Share Projection vs Actual

The next projected EPS of Select Medical is estimated to be 0.4408 with future projections ranging from a low of 0.3975 to a high of 0.49. Select Medical's most recent 12-month trailing earnings per share (EPS TTM) is at 0.82. Please be aware that the consensus of earnings estimates for Select Medical Holdings is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
Select Medical is projected to generate 0.4408 in earnings per share on the 31st of March 2026. Select Medical earnings estimates show analyst consensus about projected Select Medical EPS (Earning Per Share). It derives the highest and the lowest estimates based on Select Medical's historical volatility. Many public companies, such as Select Medical, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Select Medical Earnings Estimation Breakdown

The calculation of Select Medical's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Select Medical is estimated to be 0.4408 with the future projection ranging from a low of 0.3975 to a high of 0.49. Please be aware that this consensus of annual earnings estimates for Select Medical Holdings is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
0.0
0.40
Lowest
Expected EPS
0.4408
0.49
Highest

Select Medical Earnings Projection Consensus

Suppose the current estimates of Select Medical's value are higher than the current market price of the Select Medical stock. In this case, investors may conclude that Select Medical is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Select Medical's stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 31st of March 2026Current EPS (TTM)
568.12%
0.0
0.4408
0.82

Select Medical Ownership Allocation

Select Medical Holdings shows a total of 123.82 Million outstanding shares. The majority of Select Medical Holdings outstanding shares are owned by institutional holders. These institutional investors are usually referred to as non-private investors looking to take positions in Select Medical to benefit from reduced commissions. Consequently, institutions are subject to a different set of regulations than regular investors in Select Medical Holdings. Please pay attention to any change in the institutional holdings of Select Medical Holdings as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.

Select Medical Profitability Analysis

The company reported the last year's revenue of 5.19 B. Total Income to common stockholders was 296.7 M with profit before taxes, overhead, and interest of 916.15 M.

Select Medical Past Distributions to stockholders

About Select Medical Valuation

We use absolute and relative valuation methodologies to arrive at the intrinsic value of Select Medical Holdings. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Select Medical Holdings based exclusively on its fundamental and basic technical indicators. By analyzing Select Medical's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Select Medical's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Select Medical. We calculate exposure to Select Medical's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Select Medical's related companies.
Last ReportedProjected for Next Year
Gross Profit728.7 M642.2 M
Pretax Profit Margin 0.03  0.04 
Operating Profit Margin 0.06  0.10 
Net Profit Margin 0.04  0.03 
Gross Profit Margin 0.14  0.18 

Select Medical Quarterly Retained Earnings

824.81 Million

Select Medical's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Select Medical's value is low or high relative to the company's performance and growth projections. Determining the market value of Select Medical can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Select Medical represents a small ownership stake in the entity. As a stockholder of Select, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Select Medical Dividends Analysis For Valuation

At this time, Select Medical's Dividend Payout Ratio is very stable compared to the past year. As of the 10th of February 2026, Dividend Paid And Capex Coverage Ratio is likely to grow to 5.66, though Dividends Paid is likely to grow to (55.2 M). . At this time, Select Medical's Retained Earnings are very stable compared to the past year. As of the 10th of February 2026, Earnings Yield is likely to grow to 0.10, while Retained Earnings Total Equity is likely to drop about 401.2 M.
Last ReportedProjected for Next Year
Dividends Paid-58.2 M-55.2 M
Dividend Yield 0.03  0.03 
Dividend Payout Ratio 0.27  0.29 
Dividend Paid And Capex Coverage Ratio 5.39  5.66 
There are various types of dividends Select Medical can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Select shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Select Medical Holdings directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Select pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Select Medical by the value of the dividends paid out.

Select Medical Growth Indicators

Investing in growth stocks can be very risky. If the company such as Select Medical does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding124.6 M
Quarterly Earnings Growth Y O Y-0.468
Forward Price Earnings12.9032

Select Medical Current Valuation Indicators

Select Medical's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Select Medical's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Select Medical, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Select Medical's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Select Medical's worth.
When determining whether Select Medical Holdings is a strong investment it is important to analyze Select Medical's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Select Medical's future performance. For an informed investment choice regarding Select Stock, refer to the following important reports:
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Select Medical Holdings. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in discontinued.
You can also try the CEOs Directory module to screen CEOs from public companies around the world.
Will Health Care Providers & Services sector continue expanding? Could Select diversify its offerings? Factors like these will boost the valuation of Select Medical. If investors know Select will grow in the future, the company's valuation will be higher. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Select Medical data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth
(0.47)
Dividend Share
0.375
Earnings Share
0.82
Revenue Per Share
43.304
Quarterly Revenue Growth
0.072
Investors evaluate Select Medical Holdings using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Select Medical's intrinsic value - the estimated true worth - helps identify when the stock trades at a discount or premium to fair value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. External factors like market trends, sector rotation, and investor psychology can cause Select Medical's market price to deviate significantly from intrinsic value.
Please note, there is a significant difference between Select Medical's value and its price as these two are different measures arrived at by different means. Investors typically determine if Select Medical is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. Conversely, Select Medical's market price signifies the transaction level at which participants voluntarily complete trades.