Ensign Group Inc (ENSG) is overvalued and PACS Group Inc (PACS) is slightly overvalued.
Both trade above our estimate of their intrinsic value. PACS is the closer of the two: -18%, against -25% for ENSG.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.2% (average of 3 methods) values the shares at $141.03; the price of $176.32 is 25% above that value, and 80% of that value comes from beyond year five.
Leak Score 43/100 on 3 of 12 signals
Discounting its cash flows at 11.7% (average of 3 methods) values the shares at $35.24; the price of $41.53 is 18% above that value, and 69% of that value comes from beyond year five.
Leak Score 14/100 on 3 of 12 signals
| Metric | ENSG | PACS |
|---|---|---|
| Verdict | Overvalued | Slightly overvalued |
| Price | $176.32 | $41.53 |
| Intrinsic value | $141.03 | $35.24 |
| Margin of safety | -25% | -18% |
| Leak Score | 43/100 (3/12) | 14/100 (3/12) |
| Market cap | $10.3B | $6.6B |
| Revenue growth, 5 years | 16.5% | 45.9% |
| Operating margin | 8.8% | 7.4% |
| Net margin | 6.9% | 4.8% |
| Return on equity | 17.0% | 28.1% |
| Debt to equity | 0.92 | 3.07 |
| P/E | 27.6x | 24.9x |
| Forward P/E | 20.6x | 15.9x |
| P/B | 4.2x | 5.9x |
| Dividend yield | 0.1% | — |