SABRA HEALTH CARE REIT INC (SBRA) Stock Fundamental Analysis
NASDAQ:SBRA - Nasdaq - US78573L1061 - REIT
Taking everything into account, SBRA scores 5 out of 10 in our fundamental rating. SBRA was compared to 129 industry peers in the Diversified REITs industry. Both the profitability and the financial health of SBRA get a neutral evaluation. Nothing too spectacular is happening here. SBRA is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
SBRA had positive earnings in the past year.
SBRA had a positive operating cash flow in the past year.
In multiple years SBRA reported negative net income over the last 5 years.
SBRA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 1.81%, SBRA is doing good in the industry, outperforming 65.08% of the companies in the same industry.
SBRA has a better Return On Equity (3.54%) than 61.90% of its industry peers.
With an excellent Return On Invested Capital value of 4.06%, SBRA belongs to the best of the industry, outperforming 80.95% 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 3.11%.
The last Return On Invested Capital (4.06%) for SBRA is above the 3 year average (3.52%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.81% | ||
| ROE | 3.54% | ||
| ROIC | 4.06% |
ROA(3y)-1%
ROA(5y)0.09%
ROE(3y)-1.8%
ROE(5y)0.13%
ROIC(3y)3.52%
ROIC(5y)3.69%
1.3 Margins
The Profit Margin of SBRA (14.20%) is better than 67.46% of its industry peers.
In the last couple of years the Profit Margin of SBRA has declined.
SBRA's Operating Margin of 35.67% is fine compared to the rest of the industry. SBRA outperforms 79.37% of its industry peers.
SBRA's Operating Margin has declined in the last couple of years.
SBRA has a Gross Margin of 70.85%. This is in the better half of the industry: SBRA outperforms 61.11% of its industry peers.
SBRA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 35.67% | ||
| PM (TTM) | 14.2% | ||
| GM | 70.85% |
OM growth 3Y-7.7%
OM growth 5Y-7.03%
PM growth 3Y-54.88%
PM growth 5Y-45.25%
GM growth 3Y-4.04%
GM growth 5Y-4.63%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SBRA is destroying value.
SBRA has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, SBRA has more shares outstanding
The debt/assets ratio for SBRA is higher compared to a year ago.
2.2 Solvency
SBRA has an Altman-Z score of 0.73. This is a bad value and indicates that SBRA is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of SBRA (0.73) is comparable to the rest of the industry.
SBRA has a debt to FCF ratio of 15.62. This is a negative value and a sign of low solvency as SBRA would need 15.62 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 15.62, SBRA is doing good in the industry, outperforming 79.37% of the companies in the same industry.
A Debt/Equity ratio of 0.90 indicates that SBRA is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.90, SBRA is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 15.62 | ||
| Altman-Z | 0.73 |
ROIC/WACC0.57
WACC7.12%
2.3 Liquidity
SBRA has a Current Ratio of 1.44. This is a normal value and indicates that SBRA is financially healthy and should not expect problems in meeting its short term obligations.
SBRA has a Current ratio of 1.44. This is comparable to the rest of the industry: SBRA outperforms 59.52% of its industry peers.
SBRA has a Quick Ratio of 1.44. This is a normal value and indicates that SBRA is financially healthy and should not expect problems in meeting its short term obligations.
SBRA has a better Quick ratio (1.44) than 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 205.13% over the past year.
The earnings per share for SBRA have been decreasing by -49.55% on average. This is quite bad
The Revenue has been growing slightly by 5.42% in the past year.
Measured over the past years, SBRA shows a small growth in Revenue. The Revenue has been growing by 0.76% on average per year.
EPS 1Y (TTM)205.13%
EPS 3Y-57.9%
EPS 5Y-49.55%
EPS Q2Q%285.71%
Revenue 1Y (TTM)5.42%
Revenue growth 3Y2.65%
Revenue growth 5Y0.76%
Sales Q2Q%10.13%
3.2 Future
Based on estimates for the next years, SBRA will show a very strong growth in Earnings Per Share. The EPS will grow by 147.89% on average per year.
Based on estimates for the next years, SBRA will show a small growth in Revenue. The Revenue will grow by 7.69% on average per year.
EPS Next Y943.81%
EPS Next 2Y273.82%
EPS Next 3Y147.89%
EPS Next 5YN/A
Revenue Next Year8.92%
Revenue Next 2Y8.08%
Revenue Next 3Y7.88%
Revenue Next 5Y7.69%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
With a Price/Earnings ratio of 41.59, SBRA can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of SBRA is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 28.29, SBRA is valued a bit more expensive.
With a Price/Forward Earnings ratio of 24.40, SBRA is valued on the expensive side.
85.71% of the companies in the same industry are more expensive than SBRA, based on the Price/Forward Earnings ratio.
SBRA is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.59 | ||
| Fwd PE | 24.4 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as SBRA.
70.63% of the companies in the same industry are more expensive than SBRA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.5 | ||
| EV/EBITDA | 15.55 |
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.
A more expensive valuation may be justified as SBRA's earnings are expected to grow with 147.89% in the coming years.
PEG (NY)0.04
PEG (5Y)N/A
EPS Next 2Y273.82%
EPS Next 3Y147.89%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.98%, SBRA is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 18.51, SBRA pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.28, SBRA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.98% |
5.2 History
The dividend of SBRA decreases each year by -8.03%.
SBRA has been paying a dividend for at least 10 years, so it has a reliable track record.
SBRA has decreased its dividend recently.
Dividend Growth(5Y)-8.03%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
286.65% of the earnings are spent on dividend by SBRA. This is not a sustainable payout ratio.
DP286.65%
EPS Next 2Y273.82%
EPS Next 3Y147.89%
SABRA HEALTH CARE REIT INC
NASDAQ:SBRA (1/21/2025, 8:25:39 PM)
After market: 17.3 +0.25 (+1.47%)17.05
+0.11 (+0.65%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners94%
Inst Owner Change-0.02%
Ins Owners1.18%
Ins Owner Change10.76%
Market Cap4.03B
Analysts78
Price Target20.21 (18.53%)
Short Float %7.67%
Short Ratio8.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.98% |
Yearly Dividend1.2
Dividend Growth(5Y)-8.03%
DP286.65%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-26.33%
Min EPS beat(2)-34.01%
Max EPS beat(2)-18.65%
EPS beat(4)0
Avg EPS beat(4)-30.93%
Min EPS beat(4)-48.9%
Max EPS beat(4)-18.65%
EPS beat(8)0
Avg EPS beat(8)-101.71%
EPS beat(12)1
Avg EPS beat(12)-106.59%
EPS beat(16)2
Avg EPS beat(16)-114.18%
Revenue beat(2)2
Avg Revenue beat(2)2.63%
Min Revenue beat(2)1.26%
Max Revenue beat(2)4.01%
Revenue beat(4)4
Avg Revenue beat(4)2.21%
Min Revenue beat(4)1.26%
Max Revenue beat(4)4.01%
Revenue beat(8)5
Avg Revenue beat(8)1.46%
Revenue beat(12)6
Avg Revenue beat(12)-0.87%
Revenue beat(16)6
Avg Revenue beat(16)-1.79%
PT rev (1m)1.16%
PT rev (3m)7.65%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.67%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.32%
Revenue NY rev (1m)0.24%
Revenue NY rev (3m)0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.59 | ||
| Fwd PE | 24.4 | ||
| P/S | 5.89 | ||
| P/FCF | 25.5 | ||
| P/OCF | 13.04 | ||
| P/B | 1.47 | ||
| P/tB | 1.49 | ||
| EV/EBITDA | 15.55 |
EPS(TTM)0.41
EY2.4%
EPS(NY)0.7
Fwd EY4.1%
FCF(TTM)0.67
FCFY3.92%
OCF(TTM)1.31
OCFY7.67%
SpS2.89
BVpS11.6
TBVpS11.48
PEG (NY)0.04
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.81% | ||
| ROE | 3.54% | ||
| ROCE | 4.65% | ||
| ROIC | 4.06% | ||
| ROICexc | 4.11% | ||
| ROICexgc | 4.14% | ||
| OM | 35.67% | ||
| PM (TTM) | 14.2% | ||
| GM | 70.85% | ||
| FCFM | 23.12% |
ROA(3y)-1%
ROA(5y)0.09%
ROE(3y)-1.8%
ROE(5y)0.13%
ROIC(3y)3.52%
ROIC(5y)3.69%
ROICexc(3y)3.56%
ROICexc(5y)3.73%
ROICexgc(3y)3.58%
ROICexgc(5y)3.77%
ROCE(3y)4.03%
ROCE(5y)4.22%
ROICexcg growth 3Y-2.17%
ROICexcg growth 5Y-2.37%
ROICexc growth 3Y-1.9%
ROICexc growth 5Y-2%
OM growth 3Y-7.7%
OM growth 5Y-7.03%
PM growth 3Y-54.88%
PM growth 5Y-45.25%
GM growth 3Y-4.04%
GM growth 5Y-4.63%
F-Score5
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 15.62 | ||
| Debt/EBITDA | 5.96 | ||
| Cap/Depr | 88.8% | ||
| Cap/Sales | 22.09% | ||
| Interest Coverage | 2.41 | ||
| Cash Conversion | 74.67% | ||
| Profit Quality | 162.79% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 0.73 |
F-Score5
WACC7.12%
ROIC/WACC0.57
Cap/Depr(3y)49.18%
Cap/Depr(5y)45.66%
Cap/Sales(3y)14.79%
Cap/Sales(5y)13.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)205.13%
EPS 3Y-57.9%
EPS 5Y-49.55%
EPS Q2Q%285.71%
EPS Next Y943.81%
EPS Next 2Y273.82%
EPS Next 3Y147.89%
EPS Next 5YN/A
Revenue 1Y (TTM)5.42%
Revenue growth 3Y2.65%
Revenue growth 5Y0.76%
Sales Q2Q%10.13%
Revenue Next Year8.92%
Revenue Next 2Y8.08%
Revenue Next 3Y7.88%
Revenue Next 5Y7.69%
EBIT growth 1Y7.3%
EBIT growth 3Y-5.25%
EBIT growth 5Y-6.32%
EBIT Next Year89.02%
EBIT Next 3Y28.64%
EBIT Next 5Y18.44%
FCF growth 1Y-29.62%
FCF growth 3Y-5.37%
FCF growth 5Y17.51%
OCF growth 1Y-10.62%
OCF growth 3Y-5.39%
OCF growth 5Y-3.58%