Brookdale Reports and Provides Guidance
Not since the pandemic hit has Brookdale Senior Living provided guidance on adjusted EBITDA and RevPAR growth. It is something that has been missing for investors and analysts, but Brookdale was not alone in suspending guidance. It just became too difficult for anyone in the senior care business to predict with any amount of certainty what the next quarter or year would bring. Full year adjusted EBITDA is projected to be between $240 million and $260 million, while RevPAR is expected to grow by 10% to 12% in 2022. Adjusted EBITDA in 2021 was $138.5 million, but $283.6 million in 2020. The good news is that this means management has more confidence with where their operations are going. We... Read More »
Brookdale: Time for a Reverse Split?
Perhaps it is because of the new Omicron variant spreading like wildfire, perhaps occupancy growth has stalled, or perhaps investors are just losing patience for a recovery that would boost the share price. Whatever the reasons, Brookdale Senior Living’s share price has dropped by 30% since mid-November, and it is now below $5.00 per share for the first time since last February. And, the 52-week high was $8.95 per share. Many investors do not like stocks that are below $10 per share, with some funds even prohibited from owning them. A $4 stock, or lower, implies current weakness or poor future performance expectations. To remedy this perception, some companies complete a reverse stock... Read More »
Brookdale Month-End Occupancy Falls in November
The brevity of Brookdale Senior Living’s occupancy update said a lot: there was not much good news to report. After eight consecutive months of increases, month-end occupancy decreased by 20 basis points from 74.5% in October to 74.3% in November. There could be numerous reasons for this, from the Omicron variant to the onset of the flu season to a staffing shortage, but demand clearly did not overcome these factors in the month of November. And these headwinds are not getting better anytime soon. Brookdale expects to continue publishing monthly occupancy through December 2021 reporting, so we could learn whether this decline is a blip or a trend. Brookdale did... Read More »
Brookdale Soars on Q3 Earnings
As the largest seniors housing company, all eyes are always on Brookdale Senior Living and how it is performing. Investors seemed to like what they heard and saw after the company released its third quarter earnings report last Friday, sending the shares up by 14% to close at their highest level since August 2. Part of the good news was that the company will start issuing earnings and cash flow guidance moving forward, something that Brookdale and most other companies suspended with the onset of the pandemic. In addition, they reported their eighth straight month of census increases dating back to the bottom in February. In February, the weighted average occupancy was 69.4%... Read More »Schedule a demo
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