Sabra Health Care REIT, Inc. (SBRA)

In the past six months, Sabra Health Care REIT, Inc. reported strong financial results for Q1 2025, with normalized FFO per share increasing to $0.35 and Normalized Adjusted Funds From Operations (AFFO) per share reaching $0.37, including a 16.9% year-over-year cash Net Operating Income (NOI) growth in its same-store managed senior housing portfolio, and reaffirmed its full-year 2025 earnings guidance. During Q1 2025, Sabra acquired the second phase of its Legacy Living Jasper senior housing campus for $7.8 million and was awarded over $200 million in newer vintage senior housing acquisition opportunities, utilizing its at-the-market (ATM) equity offering program to sell up to 4.9 million shares. In April 2025, Fitch Ratings affirmed Sabra's "BBB-" credit rating with a Stable Outlook, citing adequate leverage, strong liquidity, and improved portfolio-level lease coverage. For the second quarter of 2025, Sabra continued to show robust growth, with normalized FFO per share at $0.37 and normalized AFFO per share at $0.38. Analysts have also boosted price targets for Sabra Health Care REIT, Inc., with one instance in August 2025 raising a price target to $22.00.

While the healthcare real estate sector can experience some seasonal fluctuations, Sabra Health Care REIT, Inc.'s recent performance indicates a strong underlying demand that has defied typical seasonal dips. In the first quarter of 2025, the managed senior housing portfolio's revenue, cash NOI, and margins were flat sequentially, contrary to expectations of seasonal declines. Furthermore, the demand for senior housing is noted to outpace supply, which is a positive long-term trend for Sabra.

Sabra Health Care REIT, Inc. operates as a self-administered and self-managed real estate investment trust (REIT) primarily focused on the healthcare industry, acquiring, financing, and owning real estate properties leased to third-party tenants within the healthcare sector. Its investment portfolio includes skilled nursing/transitional care facilities, senior housing communities, behavioral health facilities, specialty hospitals, loans receivable, and preferred equity investments.

Sabra Health Care REIT, Inc. has a geographic footprint that spans across the United States and Canada with approximately 36,553 to 37,834 beds/units spread across these two countries as of June 30, 2025.

Sabra Health Care REIT, Inc. has maintained a positive brand reputation over the past year, characterized by strong financial performance and strategic initiatives. The affirmation of its "BBB-" credit rating with a Stable Outlook by Fitch Ratings in April 2025 highlights the company's sound financial health and management. Analysts generally hold a positive view, with an average rating of "Hold" and a 12-month stock price target indicating potential upside. The company is recognized for its diversified portfolio, strong relationships with operators, and active management to optimize performance and mitigate risks.

Institutional investors hold a significant majority of Sabra Health Care REIT, Inc.'s shares, accounting for 86.66% of the ownership, while individual ownership stands at 1.85%. Major institutional owners include State Street Corp., Vanguard Real Estate Index Investor, iShares Core S&P Mid-Cap ETF, and Vanguard Total Stock Mkt Idx Inv. Key executives also hold substantial shares, such as Richard K. Matros and Talya Nevo-Hacohen.