60 Seconds with Steve Monroe: Do We Really Have To Worry About A Recession?
We just can’t seem to get a break. Just as we are coming out of the pandemic morass with some decent census increases since March of 2021, now we have to worry about a looming recession and stagflation. Many people in the sector have only seen a growing economy in the past decade and inflation rates hovering between zero and 2%. Stagnation? Never heard of it, well, not for a few decades at least. As a result, we thought we would take a look at what happened to the senior care sector in the last major recession in 2008-2009, as well as the mini-recession in 2020, and see what exactly happened in our sector and what might happen this time around. What we concluded is that... Read More »
60 Seconds with Swett: Occupancy Optimism in the Seniors Housing Market
When we did our analysis of NIC MAP census data in late 2020, we discovered that from 2009 to 2020, there was only one year when the assisted living sector did not report a Q1 decline in average occupancy. That was in 2012, when census stayed flat. Not only that, every year after 2012 reported a Q2 decline as well. All this showed us that the road to recovery for the seniors housing market would be long following the pandemic, and much longer than most optimistic predictions at the time. Last year’s first quarter continued the trend, as the industry bottomed out and most public providers hit their lows too. Although, vaccines had only just started being distributed to seniors, and there... Read More »
60 Seconds with Steve Monroe: Labor Headwinds Everywhere
In case you did not notice, practically every equity analyst report we read on healthcare companies in the past four weeks had “labor headwinds” either in the title or the first paragraph. And I am not talking about senior care companies. These were home health, managed care, PMGs, you name it. Providers just can’t find the staff they need, and when they do, it is expensive. But you know that. Perhaps if we enter into a small recession that will help with the labor shortage, but don’t hold your breath. I’m not. We have a systemic problem, and it needs major changes if it is going to be fixed for the senior care industry. And the senior care industry must be a leader on the labor front to... Read More »
60 Seconds with Swett: Best Senior Living List Is Revealed
U.S. News & World Report came out with its first ever “Best Senior Living” list on Tuesday, creating new designations of Best Independent Living, Assisted Living, Memory Care and CCRCs. U.S. News and its survey provider, Dr. Jacquelyn Kung’s Activated Insights, administered satisfaction surveys at 3,045 communities throughout the country between March 2021 and February 2022, evaluating four basic categories: community & activity, food & dining, caregiving, and management & staff. Also, family responses were taken into account for assisted living scores, and memory care community scores were derived solely from family surveys. Residents tended to respond more positively than... Read More »
60 Seconds with Swett: OHI Soars After Q1 Earnings
Omega Healthcare Investors came out with its first quarter earnings on Monday May 2nd, and its share price soared throughout Tuesday, peaking at 28.89 per share (as of this filming), or up 14.8% from its previous close at $25.13. Granted, that is still not far off of its 52-week low of $24.81, but good news is good news. First off, the company announced that it successfully sold 22 of its struggling Gulf Coast Health Care skilled nursing facilities, representing the majority of that portfolio for $318 million in cash. Gulf Coast had stopped paying contractual rent in the second quarter of 2021 as it was in the process of filing for chapter 11, so getting these facilities off its plate... Read More »Schedule a demo
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