WallStSmart

National Research Corp (NRC)vsR1 RCM Inc (RCM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

R1 RCM Inc generates 1660% more annual revenue ($2.46B vs $140.00M). NRC leads profitability with a 4.2% profit margin vs -2.5%. NRC appears more attractively valued with a PEG of 1.32. NRC earns a higher WallStSmart Score of 42/100 (D).

NRC

Hold

42

out of 100

Grade: D

Growth: 2.7Profit: 6.0Value: 6.0Quality: 3.0
Piotroski: 3/9Altman Z: 1.32

RCM

Hold

39

out of 100

Grade: F

Growth: 6.0Profit: 3.0Value: 5.7Quality: 6.0
Piotroski: 6/9Altman Z: 1.34
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NRCUndervalued (+51.3%)

Margin of Safety

+51.3%

Fair Value

$28.23

Current Price

$21.12

$7.11 discount

UndervaluedFair: $28.23Overvalued
RCMUndervalued (+25.8%)

Margin of Safety

+25.8%

Fair Value

$19.28

Current Price

$14.31

$4.97 discount

UndervaluedFair: $19.28Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NRC1 strengths · Avg: 10.0/10
Return on EquityProfitability
89.4%10/10

Every $100 of equity generates 89 in profit

RCM1 strengths · Avg: 8.0/10
Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Areas to Watch

NRC4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
4.0%4/10

4.0% revenue growth

Market CapQuality
$476.23M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.2%3/10

4.2% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

RCM4 concerns · Avg: 2.8/10
PEG RatioValuation
2.064/10

Expensive relative to growth rate

Operating MarginProfitability
3.8%3/10

Operating margin of 3.8%

Return on EquityProfitability
-2.2%2/10

ROE of -2.2% — below average capital efficiency

EPS GrowthGrowth
-99.3%2/10

Earnings declined 99.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : NRC

The strongest argument for NRC centers on Return on Equity. PEG of 1.32 suggests the stock is reasonably priced for its growth.

Bull Case : RCM

The strongest argument for RCM centers on Price/Book. Revenue growth of 14.7% demonstrates continued momentum.

Bear Case : NRC

The primary concerns for NRC are Revenue Growth, Market Cap, Profit Margin. A P/E of 89.7x leaves little room for execution misses. Debt-to-equity of 13.75 is elevated, increasing financial risk.

Bear Case : RCM

The primary concerns for RCM are PEG Ratio, Operating Margin, Return on Equity.

Key Dynamics to Monitor

NRC profiles as a value stock while RCM is a turnaround play — different risk/reward profiles.

RCM carries more volatility with a beta of 0.84 — expect wider price swings.

RCM is growing revenue faster at 14.7% — sustainability is the question.

RCM generates stronger free cash flow (60M), providing more financial flexibility.

Bottom Line

NRC scores higher overall (42/100 vs 39/100). RCM offers better value entry with a 25.8% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

National Research Corp

HEALTHCARE · HEALTH INFORMATION SERVICES · USA

National Research Corporation provides analytics and information that make it easy to measure and improve the patient and employee experience in the United States and Canada. The company is headquartered in Lincoln, Nebraska.

R1 RCM Inc

HEALTHCARE · HEALTH INFORMATION SERVICES · USA

R1 RCM Inc (RCM) stands out as a leading provider of technology-driven revenue cycle management solutions, specifically designed to enhance the financial performance of healthcare organizations across the United States. Leveraging cutting-edge analytics and deep industry insights, R1 RCM optimizes billing processes and boosts operational efficiency for hospitals and outpatient facilities. By maximizing revenue capture while improving patient experiences, the company solidifies its position within a rapidly evolving healthcare landscape. With strategic initiatives aimed at expanding its service offerings and increasing market presence, R1 RCM is poised for sustained growth and a competitive edge in the increasingly complex revenue cycle management sector.

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