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National Health Investors (National Health Investors) Operating Margin % : 56.31% (As of Dec. 2023)


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What is National Health Investors Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. National Health Investors's Operating Income for the three months ended in Dec. 2023 was $44.7 Mil. National Health Investors's Revenue for the three months ended in Dec. 2023 was $79.5 Mil. Therefore, National Health Investors's Operating Margin % for the quarter that ended in Dec. 2023 was 56.31%.

Warning Sign:

National Health Investors Inc operating margin has been in a 5-year decline. The average rate of decline per year is -6.3%.

The historical rank and industry rank for National Health Investors's Operating Margin % or its related term are showing as below:

NHI' s Operating Margin % Range Over the Past 10 Years
Min: 47.72   Med: 69.23   Max: 72.96
Current: 55.9


NHI's Operating Margin % is ranked better than
57.27% of 695 companies
in the REITs industry
Industry Median: 51.83 vs NHI: 55.90

National Health Investors's 5-Year Average Operating Margin % Growth Rate was -6.30% per year.

National Health Investors's Operating Income for the three months ended in Dec. 2023 was $44.7 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $178.8 Mil.


National Health Investors Operating Margin % Historical Data

The historical data trend for National Health Investors's Operating Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

National Health Investors Operating Margin % Chart

National Health Investors Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 69.17 67.58 62.02 47.72 55.90

National Health Investors Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 36.18 56.31 54.59 56.35 56.31

Competitive Comparison of National Health Investors's Operating Margin %

For the REIT - Healthcare Facilities subindustry, National Health Investors's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


National Health Investors's Operating Margin % Distribution in the REITs Industry

For the REITs industry and Real Estate sector, National Health Investors's Operating Margin % distribution charts can be found below:

* The bar in red indicates where National Health Investors's Operating Margin % falls into.



National Health Investors Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

National Health Investors's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=178.792 / 319.835
=55.90 %

National Health Investors's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=44.744 / 79.465
=56.31 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


National Health Investors  (NYSE:NHI) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


National Health Investors Operating Margin % Related Terms

Thank you for viewing the detailed overview of National Health Investors's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


National Health Investors (National Health Investors) Business Description

Traded in Other Exchanges
Address
222 Robert Rose Drive, Murfreesboro, TN, USA, 37129
National Health Investors Inc is a housing and medical facility REIT. The company operate through two reportable segments i.e. Real Estate Investments and Senior Housing Operating Portfolio. Real Estate Investments segment consists of real estate investments and lease, mortgage and other notes receivables in independent living facilities, assisted living facilities, entrance-fee communities, senior living campuses, skilled nursing facilities and a hospital. SHOP segment is comprised of two ventures that own the operations of independent living facilities. Company's revenues are derived from rental income, mortgage and other notes receivable interest income and resident fees and services.
Executives
James R Jobe director 707 REGAL DRIVE, MURFREESBORO TN 37129
Robert G Adams director, officer: President P.O. BOX 1398, MURFREESBORO TN 37133-1398
Colden Tracy M J director C/O PLAYA HOTELS & RESORTS N.V.,, 3950 UNIVERSITY DRIVE, SUITE 301, FAIRFAX VA 22030
Robert T Webb director PO BOX 1102, MURFREESBORO TN 37133-1102
D. Eric Mendelsohn officer: EVP - Corporate Finance C/O EMERITUS CORPORATION, 3131 ELLIOTT AVENUE, SUITE 500, SEATTLE WA 98121
Mccabe Robert A Jr director 500 CHURCH ST, STE 200, NASHVILLE TN 37219
David L Travis officer: SVP/Chief Accounting Officer C/O MEDEQUITIES REALTY TRUST, 3100 WEST END AVENUE, SUITE 1000, NASHVILLE TN 37203
W Andrew Adams director, officer: President P.O. BOX 1398, MURFREESBORO TN 37133-1398
Kevin Carlton Pascoe officer: EVP - Investments 222 ROBERT ROSE DRIVE, MURFREESBORO TN 37129
Ronald V Reel officer: Chief Accounting Officer 222 ROBERT ROSE DRIVE, MURFREESBORO TN 37129
Kristin Sallee Gaines officer: Chief Credit Officer 2320 LONDONDERRY DRIVE, MURFREESBORO TN 37129
John L Spaid officer: Exec. VP of Finance 222 ROBERT ROSE DRIVE, MURFREESBORO TN 37129
Roger R Hopkins officer: Chief Accounting Officer 2930 PRINCETON LANE, MURFREESBORO TN 37129
James Justin Hutchens officer: President and COO C/O VENTAS, INC., 353 N. CLARK STREET, SUITE 3300, CHICAGO IL 60654
Ted H Welch director PO BOX 1102, MURFREESBORO TN 37133-1102

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