📊 CHCT Key Takeaways
Is Community Healthcare Trust Inc (CHCT) a Good Investment?
Community Healthcare Trust exhibits severe liquidity concerns with only $2.6M cash against $559.3M long-term debt and $1.0B in assets, creating meaningful solvency risk. While the company demonstrates strong 79.8% operating margins and positive free cash flow of $13.7M, the unexplained 77,789% YoY revenue surge suggests material business disruption (likely acquisition-driven), compounded by extremely weak ROE of 0.6% and ROA of 0.3%, indicating poor capital efficiency and deteriorating shareholder value creation.
Community Healthcare Trust shows solid property-level cash generation, with $56.43M of operating cash flow and a strong 46.6% FCF margin relative to reported revenue. However, weak bottom-line profitability, very low ROE/ROA, high leverage, and minimal cash on hand limit financial flexibility, while the extreme reported revenue growth suggests comparability or data-quality distortion rather than clean fundamental acceleration.
Community Healthcare Trust Inc Key Strengths (CHCT)
- Exceptional operating margin of 79.8% demonstrates strong operational efficiency
- Positive free cash flow of $13.7M provides cash generation capacity for debt service
- Interest coverage ratio of 5.0x indicates adequate ability to service debt obligations
- Healthy operating cash flow generation relative to reported revenue
- Positive operating income with a 20.7% operating margin
- Interest coverage of 5.0x indicates debt service is currently manageable
CHCT Stock Risks: Community Healthcare Trust Inc Investment Risks
- Critical liquidity crisis: only $2.6M cash represents 0.26% of total assets and cannot cover meaningful obligations
- Extreme and unexplained 77,789% YoY revenue growth indicates business disruption, likely acquisition, creating integration and valuation uncertainty
- Elevated leverage with 1.33x debt-to-equity ratio and $559.3M long-term debt against weak equity returns (0.6% ROE, 0.3% ROA) signals financial distress risk
- Massive disconnect between 79.8% operating margin and 8.1% net margin suggests substantial non-operating costs or financial charges eroding shareholder value
- Net margin of 4.2% and ROE/ROA of 1.2%/0.5% indicate weak earnings efficiency
- Leverage is elevated with $532.20M long-term debt and 1.24x debt-to-equity
- Cash balance of $3.34M is thin for a nearly $1.0B asset base, reducing liquidity cushion
Key Metrics to Watch
- Cash and equivalents position and trend - critical for assessing near-term solvency
- Debt service coverage and refinancing activity - essential given low liquidity buffer
- Return on equity and assets trajectory - must show improvement to justify leverage levels
- Free cash flow sustainability - verify whether $13.7M FCF is structural or temporary
- Funds from operations or operating cash flow relative to debt service
- Leverage trend including debt-to-equity, interest coverage, and cash balance
Community Healthcare Trust Inc (CHCT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 43.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
CHCT Profit Margin, ROE & Profitability Analysis
CHCT vs Real Estate Sector: How Community Healthcare Trust Inc Compares
How Community Healthcare Trust Inc compares to Real Estate sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Community Healthcare Trust Inc Stock Overvalued? CHCT Valuation Analysis 2026
Based on fundamental analysis, Community Healthcare Trust Inc shows some fundamental concerns relative to the Real Estate sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Community Healthcare Trust Inc Balance Sheet: CHCT Debt, Cash & Liquidity
CHCT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Community Healthcare Trust Inc's revenue has grown significantly by 61% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.20 reflects profitable operations.
CHCT Revenue Growth, EPS Growth & YoY Performance
CHCT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2025 | $348.0K | $1.6M | $0.03 |
| Q3 2024 | $304.0K | $1.7M | $0.04 |
| Q2 2024 | $602.0K | -$345.0K | $-0.07 |
| Q1 2024 | $991.0K | $3.7M | $0.11 |
| Q3 2023 | $888.0K | $3.1M | $0.05 |
| Q2 2023 | $852.0K | -$345.0K | $-0.07 |
| Q1 2023 | $877.0K | $5.5M | $0.21 |
| Q3 2022 | $807.0K | $5.4M | $0.20 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Community Healthcare Trust Inc Dividends, Buybacks & Capital Allocation
CHCT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Community Healthcare Trust Inc (CIK: 0001631569)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| May 26, 2026 | 4 | xslF345X06/wk-form4_1779829944.xml | View → |
| May 26, 2026 | 4 | xslF345X06/wk-form4_1779829919.xml | View → |
| May 26, 2026 | 4 | xslF345X06/wk-form4_1779829894.xml | View → |
| May 26, 2026 | 4 | xslF345X06/wk-form4_1779829829.xml | View → |
| May 26, 2026 | 4 | xslF345X06/wk-form4_1779829805.xml | View → |
❓ Frequently Asked Questions about CHCT
What is the AI rating for CHCT?
Community Healthcare Trust Inc (CHCT) has a Combined AI Grade of C from Claude (C) and ChatGPT (B) with 69% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CHCT's key strengths?
Claude: Exceptional operating margin of 79.8% demonstrates strong operational efficiency. Positive free cash flow of $13.7M provides cash generation capacity for debt service. ChatGPT: Healthy operating cash flow generation relative to reported revenue. Positive operating income with a 20.7% operating margin.
What are the risks of investing in CHCT?
Claude: Critical liquidity crisis: only $2.6M cash represents 0.26% of total assets and cannot cover meaningful obligations. Extreme and unexplained 77,789% YoY revenue growth indicates business disruption, likely acquisition, creating integration and valuation uncertainty. ChatGPT: Net margin of 4.2% and ROE/ROA of 1.2%/0.5% indicate weak earnings efficiency. Leverage is elevated with $532.20M long-term debt and 1.24x debt-to-equity.
What is CHCT's revenue and growth?
Community Healthcare Trust Inc reported revenue of $31.5M.
Does CHCT pay dividends?
Community Healthcare Trust Inc pays dividends, with $13.7M distributed to shareholders in the trailing twelve months.
Where can I find CHCT SEC filings?
Official SEC filings for Community Healthcare Trust Inc (CIK: 0001631569) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CHCT's EPS?
Community Healthcare Trust Inc has a diluted EPS of $0.07.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is CHCT's fundamental grade?
Based on our AI fundamental analysis in June 2026, Community Healthcare Trust Inc has a C grade with 69% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is CHCT stock overvalued or undervalued?
Valuation metrics for CHCT: ROE of 0.6% (sector avg: 8%), net margin of 8.1% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.
What is CHCT's AI grade for 2026?
Our dual AI analysis gives Community Healthcare Trust Inc a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CHCT's free cash flow?
Community Healthcare Trust Inc's operating cash flow is $13.7M, with capital expenditures of N/A. FCF margin is 43.6%.
How does CHCT compare to other Real Estate stocks?
Vs Real Estate sector averages: Net margin 8.1% (avg: 20%), ROE 0.6% (avg: 8%), current ratio N/A (avg: 1.5).