📊 CYH Key Takeaways
Investment Thesis
Community Health Systems exhibits deteriorating fundamental health with declining profitability (-24.7% YoY net income), negative stockholders' equity of -$1.4B, and high financial leverage (10.4B long-term debt). While operating margins remain modest at 11.9% and free cash flow generation provides some defensive qualities, the inverted balance sheet and weak interest coverage (2.0x) signal significant financial distress and limited margin for operational challenges.
CYH Strengths
- Positive operating cash flow of $543M demonstrates ongoing operational capacity
- Free cash flow generation of $208M provides liquidity cushion despite profitability pressure
- Adequate current ratio of 1.46x indicates short-term liquidity sufficiency
- Operating margin of 11.9% remains stable despite revenue headwinds
CYH Risks
- Negative stockholders' equity of -$1.4B indicates technical insolvency and balance sheet distress
- Net income declined 24.7% YoY while revenue contracted 1.2%, signaling operational margin compression
- High debt burden of $10.4B with weak interest coverage of only 2.0x creates refinancing risk
- Low net margin of 4.1% and FCF margin of 1.7% provide minimal error tolerance in healthcare operations
- Negative equity eliminates traditional leverage capacity and increases bankruptcy risk in economic downturns
Key Metrics to Watch
- Operating margin trends and ability to stabilize amid healthcare reimbursement pressures
- Debt reduction progress and refinancing ability given negative equity position
- Free cash flow sustainability and cash conversion quality
- Patient volume trends and revenue per admission growth
CYH Financial Metrics
💡 AI Analyst Insight
The relatively thin 1.7% FCF margin may limit capital allocation flexibility.
CYH Profitability Ratios
CYH vs Healthcare Sector
How COMMUNITY HEALTH SYSTEMS INC compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
CYH Balance Sheet & Liquidity
CYH 5-Year Financial Trend
5-Year Trend Summary: COMMUNITY HEALTH SYSTEMS INC's revenue has remained relatively flat over the 5-year period, with a 4% decline. The most recent EPS of $-1.02 indicates the company is currently unprofitable.
CYH Growth Metrics (YoY)
CYH Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $3.1B | $130.0M | $0.96 |
| Q2 2025 | $3.1B | -$13.0M | $-0.10 |
| Q1 2025 | $3.1B | -$13.0M | $-0.10 |
| Q3 2024 | $3.1B | -$91.0M | $-0.69 |
| Q2 2024 | $3.1B | -$13.0M | $-0.10 |
| Q1 2024 | $3.1B | -$41.0M | $-0.32 |
| Q3 2023 | $3.0B | -$42.0M | $-0.32 |
| Q2 2023 | $2.9B | -$38.0M | $-0.29 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CYH Capital Allocation
CYH SEC Filings
Access official SEC EDGAR filings for COMMUNITY HEALTH SYSTEMS INC (CIK: 0001108109)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CYH
What is the AI rating for CYH?
COMMUNITY HEALTH SYSTEMS INC (CYH) has an AI rating of SELL with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are CYH's key strengths?
Positive operating cash flow of $543M demonstrates ongoing operational capacity. Free cash flow generation of $208M provides liquidity cushion despite profitability pressure.
What are the risks of investing in CYH?
Negative stockholders' equity of -$1.4B indicates technical insolvency and balance sheet distress. Net income declined 24.7% YoY while revenue contracted 1.2%, signaling operational margin compression.
What is CYH's revenue and growth?
COMMUNITY HEALTH SYSTEMS INC reported revenue of $12.5B.
Does CYH pay dividends?
COMMUNITY HEALTH SYSTEMS INC pays dividends, with $22.5M distributed to shareholders in the trailing twelve months.
Where can I find CYH SEC filings?
Official SEC filings for COMMUNITY HEALTH SYSTEMS INC (CIK: 0001108109) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CYH's EPS?
COMMUNITY HEALTH SYSTEMS INC has a diluted EPS of $3.77.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.