Forensic Analysis · Healthcare Providers & Services · as of Nov 9, 2026
Pacs Group, Inc. (PACS)
A forensic read on Pacs Group, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Distress
Financial health
0.8
Distress distance
Clean
Earnings quality
4
Forensic signals
23.1%
ROE
29.3%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (auditor quality, say on pay, board independence, going concern). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Pacs Group, Inc. earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 0.8, placing it in the Distress zone. 4 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
4.9%
FY2025
Return on invested capital.Return on invested capital is 4.9% in the latest fiscal year, against 1.9% in FY2024. After-tax operating profit was $80M in FY2024 and $208M in FY2025, with operating income at 3.0% of revenue in FY2024 and 5.9% in FY2025. The capital base behind it went from $4.1B in FY2024 to $4.3B in FY2025 (+3%), while the revenue it carried went from $4.1B to $5.3B.
+5.5%/yr
FY2024–FY2025
Share-count dilution.Diluted share count changed +5% over the last 1 year to FY2025 (+5.5%/yr). The count is growing — 148.6M shares in FY2024, 156.7M in FY2025: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~5.5% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2024 has been diluted ~5%.
stopped
FY2024→FY2025
Shareholder returns — halted.Capital returns have STOPPED — $34M of buybacks + dividends in FY2024, but ~$0 in FY2025. A halt usually means the company is conserving cash.
1.0% of rev
FY2025
Stock-based comp load.Stock-based compensation ran 1.0% of revenue and 18% of free cash flow in FY2025 — about $0.35 per diluted share. No cash left the business to pay it, which is why operating cash flow adds it back. Net of repurchases the diluted count still rose about 5.5% a year across FY2024–FY2025, above the level at which the count is a material claim on a stake, and only one year's change is on file — enough to state what a holder gave up, not enough to say whether the rate is climbing or coming down. Stock compensation is one source of that issuance; acquisition consideration, equity raises, convertibles and other employee plans also net into the count, and these figures do not separate them.
Key fundamentals
Latest Revenue$5.29B
Revenue Growth YoY+29.3%
Net Margin3.6%
Free Cash Flow$298.8M
Return on Equity23.1%
Debt / Equity0.26x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Pacs Group, Inc.'s actual 10-K/10-Q/8-K filings?