National Research (NASDAQ:NRC) Issues Quarterly Earnings Results

National Research (NASDAQ:NRC) posted its earnings results on Tuesday. The company reported $0.31 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.15) by $0.46, Zacks reports. The company had revenue of $35.39 million for the quarter, compared to analyst estimates of $34.90 million. National Research had a return on equity of 142.50% and a net margin of 4.18%.

Here are the key takeaways from National Research’s conference call:

• TRCV increased 11% year over year to $151.9 million, with mid-teens growth in Experience and nearly 10% growth in The Governance Institute, reflecting strong bookings and broader customer demand.
• The landmark multi-solution customer implementation is underway, with the first 25 hospitals and several ambulatory sites live, revenue beginning in Q3, and full deployment expected by year-end. Management also said the pipeline is up 60% year over year, although average deal size has declined.
• Q2 revenue grew approximately 4% year over year and 2% sequentially, while adjusted EBITDA margin held at 27% as the company invested in delivery, customer success, and product development. Management expects margins to remain roughly flat in Q3 before improving in Q4 as revenue catches up with TRCV growth.
• NRC launched ambient listening with agentic AI in its rounding solution and is evaluating additional monetization opportunities, while also pursuing AI-driven efficiency in implementation and customer success. The company views its proprietary healthcare experience data as a competitive advantage and expects AI to improve differentiation, retention, and cost-to-serve over time.
• Management highlighted substantial cross-selling potential, with roughly 70% of customers using only one NRC product, and continued shareholder returns through a $0.16 quarterly dividend and the repurchase of approximately 397,000 shares during the quarter.

National Research Stock Up 3.5%

Shares of NRC stock traded up $0.64 during trading hours on Thursday, reaching $18.93. 31,336 shares of the company’s stock were exchanged, compared to its average volume of 109,359. The stock has a market cap of $430.77 million, a PE ratio of 75.18 and a beta of 0.35. The company has a current ratio of 0.52, a quick ratio of 0.52 and a debt-to-equity ratio of 5.48. The stock’s fifty day moving average price is $20.44 and its two-hundred day moving average price is $18.32. National Research has a 1 year low of $11.01 and a 1 year high of $23.68.

National Research Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Stockholders of record on Friday, September 25th will be paid a dividend of $0.16 per share. The ex-dividend date is Friday, September 25th. This represents a $0.64 dividend on an annualized basis and a dividend yield of 3.4%. National Research’s payout ratio is presently 164.10%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Cubist Systematic Strategies LLC purchased a new stake in shares of National Research during the first quarter valued at $118,000. AQR Capital Management LLC grew its stake in National Research by 168.6% during the 1st quarter. AQR Capital Management LLC now owns 108,134 shares of the company’s stock valued at $1,384,000 after purchasing an additional 67,882 shares during the last quarter. Jane Street Group LLC grew its stake in National Research by 394.2% during the 1st quarter. Jane Street Group LLC now owns 52,411 shares of the company’s stock valued at $671,000 after purchasing an additional 41,806 shares during the last quarter. Strs Ohio acquired a new position in shares of National Research in the first quarter valued at about $33,000. Finally, M&T Bank Corp lifted its holdings in shares of National Research by 6.4% during the second quarter. M&T Bank Corp now owns 13,608 shares of the company’s stock worth $229,000 after purchasing an additional 823 shares during the period. Hedge funds and other institutional investors own 47.26% of the company’s stock.

Analysts Set New Price Targets

A number of research analysts have recently issued reports on the stock. Weiss Ratings raised shares of National Research from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, May 29th. Citizens Jmp increased their target price on shares of National Research from $23.00 to $26.00 and gave the company a “market outperform” rating in a research report on Wednesday. One analyst has rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $26.00.

About National Research

National Research Corp (NASDAQ: NRC), also known as NRC Health, is a healthcare analytics and performance improvement company specializing in patient and employee experience measurement. The company’s cloud-based platform enables healthcare providers to collect real-time feedback through patient satisfaction surveys, post-discharge outreach, and employee engagement tools. NRC Health integrates clinical, operational and financial data to deliver actionable insights that support quality improvement initiatives and value-based care programs.

Since its founding in the early 1990s and headquartered in Lincoln, Nebraska, National Research has expanded beyond its regional roots to serve more than 1,600 hospitals and 12,000 care sites across the United States and Canada.