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Here's How Much a $1000 Investment in Select Medical Made 10 Years Ago Would Be Worth Today
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For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Select Medical (SEM - Free Report) ten years ago? It may not have been easy to hold on to SEM for all that time, but if you did, how much would your investment be worth today?
Select Medical's Business In-Depth
With that in mind, let's take a look at Select Medical's main business drivers.
Select Medical is a healthcare company with approximately 36,050 employees throughout the United States. It owns long term acute care and inpatient rehabilitation hospitals, as well as occupational health and physical therapy clinics.
As of Dec 31, 2020, Select Medical operated 99 critical illness recovery hospitals in 28 states, 30 rehabilitation hospitals in 12 states, and 1,788 outpatient rehabilitation clinics in 37 states and the District of Columbia. Select Medical’s joint venture subsidiary, Concentra operated 517 occupational health centers in 41 states. At Dec 31, 2020, Select Medical had operations in 46 states and the District of Columbia.
The company’s reportable segments include:
Critical Illness Recovery Hospital – (34% of net operating revenues in 2020) consists of hospitals designed to serve the needs of patients recovering from critical illnesses, often with complex medical needs.
Rehabilitation Hospital – (12%) consists of hospitals designed to serve patients that require intensive physical rehabilitation care. Patients are typically admitted to critical illness recovery hospitals and rehabilitation hospitals from general acute care hospitals. As of Dec 31, 2019, the company operated 29 rehabilitation hospitals in 12 states.
Outpatient Rehabilitation – (19%) consists of clinics that provide physical, occupational, and speech rehabilitation services.
Concentra – (35%) provides occupational health services in UnitedStates. On Dec 31, 2020, Select Medical acquired approximately 11.1% of the outstanding membership interests of Concentra Group Holdings Parent. Following this purchase, Select Medical owns approximately 78.0% of the outstanding membership interests of Concentra Group Holdings Parent.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Select Medical, if you bought shares a decade ago, you're likely feeling really good about your investment today.
According to our calculations, a $1000 investment made in March 2011 would be worth $4,718.12, or a gain of 371.81%, as of March 17, 2021, and this return excludes dividends but includes price increases.
The S&P 500 rose 215.28% and the price of gold increased 18.53% over the same time frame in comparison.
Analysts are anticipating more upside for SEM.
Shares of Select Medical have outperformed the industry in a year's time. The company’s revenue growth is impressive. The company’s acquisition strategy is aiding organic growth. A geographically diversified portfolio of facilities in the United States enables it to pursue multiple potential buyout opportunities. Also, the company is well poised to capitalize on consolidation opportunities within each of the business segments, which operate in a highly fragmented market and selectively boost the company’s internal growth. Select Medical’s earnings of 57 cents per share beat the Zacks Consensus Estimate by 137.5% and soared 84% year over year on the back of improved revenues. However, high debt in the capital structure is a concern for the company. Its lower return on equity than the industry is concerning.
Shares have gained 29.33% over the past four weeks and there have been 2 higher earnings estimate revisions for fiscal 2021 compared to none lower. The consensus estimate has moved up as well.
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Here's How Much a $1000 Investment in Select Medical Made 10 Years Ago Would Be Worth Today
For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Select Medical (SEM - Free Report) ten years ago? It may not have been easy to hold on to SEM for all that time, but if you did, how much would your investment be worth today?
Select Medical's Business In-Depth
With that in mind, let's take a look at Select Medical's main business drivers.
Select Medical is a healthcare company with approximately 36,050 employees throughout the United States. It owns long term acute care and inpatient rehabilitation hospitals, as well as occupational health and physical therapy clinics.
As of Dec 31, 2020, Select Medical operated 99 critical illness recovery hospitals in 28 states, 30 rehabilitation hospitals in 12 states, and 1,788 outpatient rehabilitation clinics in 37 states and the District of Columbia. Select Medical’s joint venture subsidiary, Concentra operated 517 occupational health centers in 41 states. At Dec 31, 2020, Select Medical had operations in 46 states and the District of Columbia.
The company’s reportable segments include:
Critical Illness Recovery Hospital – (34% of net operating revenues in 2020) consists of hospitals designed to serve the needs of patients recovering from critical illnesses, often with complex medical needs.
Rehabilitation Hospital – (12%) consists of hospitals designed to serve patients that require intensive physical rehabilitation care. Patients are typically admitted to critical illness recovery hospitals and rehabilitation hospitals from general acute care hospitals. As of Dec 31, 2019, the company operated 29 rehabilitation hospitals in 12 states.
Outpatient Rehabilitation – (19%) consists of clinics that provide physical, occupational, and speech rehabilitation services.
Concentra – (35%) provides occupational health services in UnitedStates. On Dec 31, 2020, Select Medical acquired approximately 11.1% of the outstanding membership interests of Concentra Group Holdings Parent. Following this purchase, Select Medical owns approximately 78.0% of the outstanding membership interests of Concentra Group Holdings Parent.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Select Medical, if you bought shares a decade ago, you're likely feeling really good about your investment today.
According to our calculations, a $1000 investment made in March 2011 would be worth $4,718.12, or a gain of 371.81%, as of March 17, 2021, and this return excludes dividends but includes price increases.
The S&P 500 rose 215.28% and the price of gold increased 18.53% over the same time frame in comparison.
Analysts are anticipating more upside for SEM.
Shares of Select Medical have outperformed the industry in a year's time. The company’s revenue growth is impressive. The company’s acquisition strategy is aiding organic growth. A geographically diversified portfolio of facilities in the United States enables it to pursue multiple potential buyout opportunities. Also, the company is well poised to capitalize on consolidation opportunities within each of the business segments, which operate in a highly fragmented market and selectively boost the company’s internal growth. Select Medical’s earnings of 57 cents per share beat the Zacks Consensus Estimate by 137.5% and soared 84% year over year on the back of improved revenues. However, high debt in the capital structure is a concern for the company. Its lower return on equity than the industry is concerning.
Shares have gained 29.33% over the past four weeks and there have been 2 higher earnings estimate revisions for fiscal 2021 compared to none lower. The consensus estimate has moved up as well.