Healthcare Services Group Inc, known by the ticker symbol HCSG, is a medical facility firm in the Healthcare Sector. This is my first report on HCSG for my Viital stock portfolio. However, I last reported on this company on June 16, 2021, when I selected it for my Vista portfolio.

Healthcare Services Group Inc. is a provider of housekeeping and facility management services to the healthcare industry. 

Image Source: Pixabay

The company operates two business segments, both contributing roughly equally to the company's revenue: First, housekeeping, laundry, linen, and other services; and second, Dietary department services. 

Housekeeping includes management of clients' housekeeping departments, cleaning, disinfecting and sanitizing, laundry, and bed linen, and uniform services. 'Dietary consists of food purchasing, meal preparation, and providing dietitian consulting services. 

Its clients are primarily nursing homes, retirement complexes, rehabilitation centers, and hospitals in the United States of America.

As of December 31, 2020, the company provided its services to approximately 3,000 facilities. 

Healthcare Services Group, Inc. was incorporated in 1976 and is based in Bensalem, Pennsylvania.

Three key data points gauge dividend equities or funds like Healthcare Services Group Inc. (HCSG):

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money. 

HCSG Price

Healthcare Services Group's price per share was $24.23 as of yesterday's market close. One year ago its price was $23.77 So HCSG's share price increased about 2% in the past year.

If HCSG's stock trades in the range of $20.00 to $32.00 this next year, its recent $24.23 price might rise by $4.27 to reach $28.50 by October 12, 2022. My estimate is $0.72 under the median of annual price upsides calculated by 8 brokerage analysts tracking the stock.

HCSG Dividend

Healthcare Services Group's most recent annually increasing quarterly dividend of  $0.21 was paid out on September 24 to shareholders. That quarterly payout of $0.21 equates to $0.84 annually and yields 3.45% based on yesterday's $24.23 closing price. Healthcare Services Group has paid regular quarterly dividends since September 2003. That's 18 years.

HCSG Returns

Adding the $0.84 annual Healthcare Services Group forward-looking dividend to my $4.27 price upside estimate shows a $5.11 potential gross gain, per share, to be reduced by any costs to trade HCSG  shares.  

At yesterday's $24.23 price per share, a little under $1000 would buy 41 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us about $0.24 per share.

Subtract that maybe $0.24 brokerage cost from my estimated $5.11 gross gain per share results in a net gain of $4.87 X 41 shares = $199.67 for a 19.97% net gain on a $993.43 investment.

So it is that Healthcare Services Group Inc. (HCSG) shows a possible 19.97% net gain including a 3.45% forward estimated dividend yield. 

Over the next year at this time, a $1000 investment in Healthcare Services Group Inc (HCSG) could generate $34.50 in cash dividends alone. And a single share bought at yesterday's closing price was $24.23! Thus, HCSG's share price is $10.27 less than the dividend income from $1K invested. So, according to my dogcatcher ideal, now is the time to pick up HCSG shares. The dividend from $1k invested is $10.27 greater than the single share price. Consider yourself alerted. It's a sign!

All of the estimates above are speculation based on the past history of Healthcare Services Group Inc. (HCSG). Only time and money invested in this stock will determine its market value.