OHI

Omega Healthcare Investors Inc

Finance/Real Estate, Healthcare


Presented:05/31/2017
Price:$31.32
Cap:$6.46B
Current Price:$40.63
Cap:$10.48B

Presented

Date05/31/2017
Price$31.32
Market Cap$6.46B
Ent Value$11.40B
P/E Ratio15.35x
Book Value$19.64
Div Yield8.01%
Shares O/S206.17M
Ave Daily Vol2,055,199
Short Int21.67%

Current

Price$40.63
Market Cap$10.48B
Omega Healthcare Investors, Inc., part of Omega Healthcare Investors, Inc. (Private Equity), is an American company located in Hunt Valley, MD. The firm functions as real estate investment trust. It was founded in 1992. C. Taylor Pickett has been the CEO since 2001. On its website, the company says this about itself: Omega Healthcare Investors is a triple-net, equity REIT (NYSE: OHI) that supports the goals of Skilled Nursing Facility (SNF) and Assisted Living Facility (ALF) operators with financing and capital. We're partners with over 80 of the most future-focused, growth-oriented operators in the U.S. and U.K., accelerating their growth strategies with a $1.25 billion unsecured credit facility and proven access to the largest public equity and debt markets in the world

Publicly traded companies mentioned herein: Omega Healthcare Investors Inc (OHI)

Highlights

Shares of Omega Healthcare Investors (OHI) appear to be overvalued at $31. The presenter is bearish on the prospects for the triple-net REIT, which counts numerous skilled nursing facility (SNF) operators as its tenants. He sees the SNF sector “falling apart fundamentally” due to changes in Medicare reimbursement (including bundled payment initiatives) that force hospitals to evaluate what facilities patients are discharged to. If OHI were to trade at a cap rate closer to that of SNFs (i.e., a 9-cap versus a ~7.3-cap, where it trades today), the stock would be more fairly valued in the mid-$20s.

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Idea Discussion

Commentor 1 - 2 weeks ago

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