18.41 USD
-0.04 (-0.22%)
Overall SBRA gets a fundamental rating of 6 out of 10. We evaluated SBRA against 124 industry peers in the Diversified REITs industry. SBRA has an average financial health and profitability rating. SBRA is not overvalued while it is showing excellent growth. This is an interesting combination. This makes SBRA very considerable for growth investing!
1. Profitability
1.1 Basic Checks
- In the past year SBRA was profitable.
- In the past year SBRA had a positive cash flow from operations.
- In multiple years SBRA reported negative net income over the last 5 years.
- In the past 5 years SBRA always reported a positive cash flow from operatings.
1.2 Ratios
- SBRA's Return On Assets of 3.15% is fine compared to the rest of the industry. SBRA outperforms 73.39% of its industry peers.
- SBRA has a better Return On Equity (6.20%) than 72.58% of its industry peers.
- With a decent Return On Invested Capital value of 3.87%, SBRA is doing good in the industry, outperforming 73.39% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for SBRA is in line with the industry average of 3.05%.
- The last Return On Invested Capital (3.87%) for SBRA is above the 3 year average (3.52%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.15% | ||
| ROE | 6.2% | ||
| ROIC | 3.87% |
ROA(3y)0.43%
ROA(5y)0.34%
ROE(3y)0.86%
ROE(5y)0.66%
ROIC(3y)3.52%
ROIC(5y)3.4%
1.3 Margins
- SBRA's Profit Margin of 23.50% is fine compared to the rest of the industry. SBRA outperforms 72.58% of its industry peers.
- SBRA's Profit Margin has improved in the last couple of years.
- SBRA's Operating Margin of 35.78% is fine compared to the rest of the industry. SBRA outperforms 75.81% of its industry peers.
- In the last couple of years the Operating Margin of SBRA has declined.
- The Gross Margin of SBRA (68.38%) is comparable to the rest of the industry.
- SBRA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 35.78% | ||
| PM (TTM) | 23.5% | ||
| GM | 68.38% |
OM growth 3Y-0.95%
OM growth 5Y-4.46%
PM growth 3YN/A
PM growth 5Y9.21%
GM growth 3Y-4.03%
GM growth 5Y-3.89%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SBRA is destroying value.
- The number of shares outstanding for SBRA has been increased compared to 1 year ago.
- SBRA has more shares outstanding than it did 5 years ago.
- SBRA has a worse debt/assets ratio than last year.
2.2 Solvency
- SBRA has an Altman-Z score of 0.84. This is a bad value and indicates that SBRA is not financially healthy and even has some risk of bankruptcy.
- SBRA has a better Altman-Z score (0.84) than 67.74% of its industry peers.
- SBRA has a debt to FCF ratio of 168.41. This is a negative value and a sign of low solvency as SBRA would need 168.41 years to pay back of all of its debts.
- The Debt to FCF ratio of SBRA (168.41) is better than 63.71% of its industry peers.
- A Debt/Equity ratio of 0.92 indicates that SBRA is somewhat dependend on debt financing.
- The Debt to Equity ratio of SBRA (0.92) is better than 66.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | 168.41 | ||
| Altman-Z | 0.84 |
ROIC/WACC0.55
WACC7.01%
2.3 Liquidity
- A Current Ratio of 2.48 indicates that SBRA has no problem at all paying its short term obligations.
- SBRA has a better Current ratio (2.48) than 87.90% of its industry peers.
- SBRA has a Quick Ratio of 2.48. This indicates that SBRA is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 2.48, SBRA belongs to the best of the industry, outperforming 87.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.48 | ||
| Quick Ratio | 2.48 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 75.61% over the past year.
- Measured over the past years, SBRA shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.28% on average per year.
- The Revenue has grown by 8.88% in the past year. This is quite good.
- The Revenue has been growing slightly by 3.41% on average over the past years.
EPS 1Y (TTM)75.61%
EPS 3YN/A
EPS 5Y9.28%
EPS Q2Q%-30.77%
Revenue 1Y (TTM)8.88%
Revenue growth 3Y7.31%
Revenue growth 5Y3.41%
Sales Q2Q%6.76%
3.2 Future
- SBRA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.47% yearly.
- The Revenue is expected to grow by 11.26% on average over the next years. This is quite good.
EPS Next Y42.14%
EPS Next 2Y21.51%
EPS Next 3Y15.47%
EPS Next 5YN/A
Revenue Next Year6.23%
Revenue Next 2Y5.97%
Revenue Next 3Y5.35%
Revenue Next 5Y11.26%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- SBRA is valuated quite expensively with a Price/Earnings ratio of 25.57.
- 71.77% of the companies in the same industry are more expensive than SBRA, based on the Price/Earnings ratio.
- SBRA is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.60, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 23.53, which indicates a rather expensive current valuation of SBRA.
- SBRA's Price/Forward Earnings ratio is rather cheap when compared to the industry. SBRA is cheaper than 86.29% of the companies in the same industry.
- SBRA is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 25.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.57 | ||
| Fwd PE | 23.53 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SBRA is on the same level as its industry peers.
- SBRA's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SBRA is cheaper than 63.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 298.36 | ||
| EV/EBITDA | 15.73 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of SBRA may justify a higher PE ratio.
- SBRA's earnings are expected to grow with 15.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.61
PEG (5Y)2.75
EPS Next 2Y21.51%
EPS Next 3Y15.47%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 6.31%, SBRA is a good candidate for dividend investing.
- SBRA's Dividend Yield is comparable with the industry average which is at 6.82.
- SBRA's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.31% |
5.2 History
- The dividend of SBRA decreases each year by -7.34%.
- SBRA has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of SBRA decreased recently.
Dividend Growth(5Y)-7.34%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
- SBRA pays out 163.17% of its income as dividend. This is not a sustainable payout ratio.
DP163.17%
EPS Next 2Y21.51%
EPS Next 3Y15.47%
SABRA HEALTH CARE REIT INC / SBRA FAQ
What is the ChartMill fundamental rating of SABRA HEALTH CARE REIT INC (SBRA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to SBRA.
Can you provide the valuation status for SABRA HEALTH CARE REIT INC?
ChartMill assigns a valuation rating of 5 / 10 to SABRA HEALTH CARE REIT INC (SBRA). This can be considered as Fairly Valued.
How profitable is SABRA HEALTH CARE REIT INC (SBRA) stock?
SABRA HEALTH CARE REIT INC (SBRA) has a profitability rating of 6 / 10.
Can you provide the expected EPS growth for SBRA stock?
The Earnings per Share (EPS) of SABRA HEALTH CARE REIT INC (SBRA) is expected to grow by 42.14% in the next year.
How sustainable is the dividend of SABRA HEALTH CARE REIT INC (SBRA) stock?
The dividend rating of SABRA HEALTH CARE REIT INC (SBRA) is 4 / 10 and the dividend payout ratio is 163.17%.