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Genesis Healthcare

NYSE:GEN
Snowflake Description

Slightly overvalued with weak fundamentals.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
GEN
NYSE
$218M
Imp Market Cap
  1. Home
  2. US
  3. Healthcare
Company description

Genesis Healthcare, Inc., together with its subsidiaries, owns and operates skilled nursing facilities and assisted/senior living facilities in the United States. The last earnings update was 39 days ago. More info.


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GEN Share Price and Events
7 Day Returns
1.5%
NYSE:GEN
1.8%
US Healthcare
0.9%
US Market
1 Year Returns
-6.3%
NYSE:GEN
-2.8%
US Healthcare
9.6%
US Market
GEN Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Genesis Healthcare (GEN) 1.5% -6.9% -17.3% -6.3% -46.8% -
US Healthcare 1.8% -5.2% -9.7% -2.8% 13.1% 63.8%
US Market 0.9% 4.6% 10.9% 9.6% 39% 47.2%
1 Year Return vs Industry and Market
  • GEN underperformed the Healthcare industry which returned -2.8% over the past year.
  • GEN underperformed the Market in United States of America which returned 9.6% over the past year.
Price Volatility
GEN
Industry
5yr Volatility vs Market

Value

 Is Genesis Healthcare undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Genesis Healthcare to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Genesis Healthcare.

NYSE:GEN Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14.7%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:GEN
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Healthcare Unlevered Beta Simply Wall St/ S&P Global 0.72
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.716 (1 + (1- 21%) (2248.35%))
9.329
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (2 * 5.96%)
14.65%

Discounted Cash Flow Calculation for NYSE:GEN using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Genesis Healthcare is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:GEN DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 14.65%)
2019 30.00 Analyst x1 26.17
2020 75.00 Analyst x1 57.06
2021 100.00 Analyst x1 66.36
2022 120.83 Est @ 20.83% 69.93
2023 139.44 Est @ 15.4% 70.39
2024 155.62 Est @ 11.6% 68.52
2025 169.53 Est @ 8.94% 65.11
2026 181.53 Est @ 7.08% 60.81
2027 192.00 Est @ 5.77% 56.10
2028 201.33 Est @ 4.86% 51.31
Present value of next 10 years cash flows $591.74
NYSE:GEN DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $201.33 × (1 + 2.73%) ÷ (14.65% – 2.73%)
$1,735.16
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,735.16 ÷ (1 + 14.65%)10
$442.18
NYSE:GEN Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $591.74 + $442.18
$1,033.92
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,033.92 / 161.78
$6.39
NYSE:GEN Discount to Share Price
Calculation Result
Value per share (USD) From above. $6.39
Current discount Discount to share price of $1.34
= -1 x ($1.34 - $6.39) / $6.39
79%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Genesis Healthcare is available for.
Intrinsic value
>50%
Share price is $1.34 vs Future cash flow value of $6.39
Current Discount Checks
For Genesis Healthcare to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Genesis Healthcare's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Genesis Healthcare's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Genesis Healthcare's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Genesis Healthcare's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:GEN PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $-2.33
NYSE:GEN Share Price ** NYSE (2019-04-25) in USD $1.34
United States of America Healthcare Industry PE Ratio Median Figure of 53 Publicly-Listed Healthcare Companies 21.81x
United States of America Market PE Ratio Median Figure of 3,081 Publicly-Listed Companies 18.28x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Genesis Healthcare.

NYSE:GEN PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:GEN Share Price ÷ EPS (both in USD)

= 1.34 ÷ -2.33

-0.58x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Genesis Healthcare is loss making, we can't compare its value to the US Healthcare industry average.
  • Genesis Healthcare is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does Genesis Healthcare's expected growth come at a high price?
Raw Data
NYSE:GEN PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -0.58x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
59.6%per year
United States of America Healthcare Industry PEG Ratio Median Figure of 40 Publicly-Listed Healthcare Companies 1.52x
United States of America Market PEG Ratio Median Figure of 2,113 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Genesis Healthcare, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Genesis Healthcare's assets?
Raw Data
NYSE:GEN PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $-13.14
NYSE:GEN Share Price * NYSE (2019-04-25) in USD $1.34
United States of America Healthcare Industry PB Ratio Median Figure of 92 Publicly-Listed Healthcare Companies 2.39x
United States of America Market PB Ratio Median Figure of 5,185 Publicly-Listed Companies 1.92x
NYSE:GEN PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:GEN Share Price ÷ Book Value per Share (both in USD)

= 1.34 ÷ -13.14

-0.1x

* Primary Listing of Genesis Healthcare.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Genesis Healthcare has negative assets, we can't compare the value of its assets to the US Healthcare industry average.
X
Value checks
We assess Genesis Healthcare's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Healthcare industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Healthcare industry average (and greater than 0)? (1 check)
  5. Genesis Healthcare has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Genesis Healthcare expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
59.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Genesis Healthcare expected to grow at an attractive rate?
  • Unable to compare Genesis Healthcare's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.
Growth vs Market Checks
  • Unable to compare Genesis Healthcare's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.
  • Genesis Healthcare's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:GEN Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:GEN Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 59.6%
NYSE:GEN Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts -2.6%
United States of America Healthcare Industry Earnings Growth Rate Market Cap Weighted Average 13.3%
United States of America Healthcare Industry Revenue Growth Rate Market Cap Weighted Average 7.2%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.5%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:GEN Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:GEN Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 4,624 170 -40 1
2020-12-31 4,692 143 -81 5
2019-12-31 4,675 93 -86 5
NYSE:GEN Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 4,977 19 -235
2018-09-30 5,022 67 -256
2018-06-30 5,120 63 -571
2018-03-31 5,189 70 -597
2017-12-31 5,374 120 -579
2017-09-30 5,423 100 -467
2017-06-30 5,501 114 -114
2017-03-31 5,568 89 -72
2016-12-31 5,625 68 -64
2016-09-30 5,657 49 -352
2016-06-30 5,656 40 -361
2016-03-31 5,645 36 -355

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Genesis Healthcare is not considered high growth as it is expected to be loss making for the next 1-3 years.
  • Genesis Healthcare's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:GEN Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from Genesis Healthcare Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GEN Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 -0.38 -0.38 -0.38 1.00
2020-12-31 -0.78 -0.72 -0.90 3.00
2019-12-31 -0.77 -0.58 -0.96 4.00
NYSE:GEN Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 -2.33
2018-09-30 -2.57
2018-06-30 -5.85
2018-03-31 -6.23
2017-12-31 -6.14
2017-09-30 -5.04
2017-06-30 -1.24
2017-03-31 -0.79
2016-12-31 -0.71
2016-09-30 -3.94
2016-06-30 -4.04
2016-03-31 -3.98

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Genesis Healthcare will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Genesis Healthcare's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Genesis Healthcare has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Genesis Healthcare performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Genesis Healthcare's growth in the last year to its industry (Healthcare).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Genesis Healthcare does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Genesis Healthcare's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Genesis Healthcare's 1-year growth to the US Healthcare industry average as it is not currently profitable.
Earnings and Revenue History
Genesis Healthcare's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Genesis Healthcare Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GEN Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 4,976.65 -235.23 279.04
2018-09-30 5,022.17 -255.56 343.85
2018-06-30 5,120.36 -571.25 356.38
2018-03-31 5,189.27 -596.75 400.18
2017-12-31 5,373.74 -578.95 406.11
2017-09-30 5,422.68 -467.24 359.04
2017-06-30 5,500.62 -113.85 360.71
2017-03-31 5,568.02 -71.78 327.75
2016-12-31 5,624.62 -64.04 332.31
2016-09-30 5,656.85 -352.31 332.03
2016-06-30 5,656.14 -360.87 333.51
2016-03-31 5,644.82 -355.30 333.96
2015-12-31 5,518.70 -424.98 326.17
2015-09-30 5,278.13 -283.45 316.08
2015-06-30 5,055.78 -298.03 301.80
2015-03-31 4,841.99 -311.65 288.25
2014-12-31 4,690.41 -239.94 278.96
2014-09-30 4,640.85 -170.03 392.48
2013-12-31 4,640.40 -170.63 283.79
2012-12-31 3,034.30 -170.46 143.36

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Genesis Healthcare has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.
  • Genesis Healthcare used its assets less efficiently than the US Healthcare industry average last year based on Return on Assets.
  • It is difficult to establish if Genesis Healthcare improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Genesis Healthcare's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Healthcare industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Genesis Healthcare has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Genesis Healthcare's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Genesis Healthcare's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Genesis Healthcare's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Genesis Healthcare's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Genesis Healthcare's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Genesis Healthcare has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Genesis Healthcare Company Filings, last reported 3 months ago.

NYSE:GEN Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 -2,044.87 4,910.52 20.87
2018-09-30 -1,938.73 4,885.86 23.17
2018-06-30 -1,847.75 4,928.88 78.93
2018-03-31 -1,786.73 5,032.12 57.71
2017-12-31 -1,680.13 5,036.53 54.53
2017-09-30 -1,528.72 5,047.11 50.59
2017-06-30 -915.04 5,048.12 64.75
2017-03-31 -811.52 5,024.97 51.79
2016-12-31 -730.19 5,039.52 51.41
2016-09-30 -771.53 5,307.78 53.84
2016-06-30 -722.71 5,255.91 46.68
2016-03-31 -688.22 5,264.46 52.20
2015-12-31 -619.39 5,319.36 61.54
2015-09-30 -306.40 5,099.42 59.67
2015-06-30 -244.54 5,056.94 82.96
2015-03-31 -205.52 4,932.31 95.71
2014-12-31 -457.49 4,456.22 87.55
2014-09-30 -321.72 4,415.72 73.57
2013-12-31 -183.88 4,251.44 61.41
2012-12-31 2.02 4,153.75 50.22
  • Genesis Healthcare has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.
  • Irrelevant to check if Genesis Healthcare's debt level has increased considering it has negative shareholder equity.
CASH RUNWAY ANALYSIS

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

  • Genesis Healthcare has less than a year of cash runway based on current free cash flow.
  • Genesis Healthcare has less than a year of cash runway if free cash flow continues to reduce at historical rates of -77.3% each year.
X
Financial health checks
We assess Genesis Healthcare's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Genesis Healthcare has a total score of 0/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Genesis Healthcare's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Genesis Healthcare dividends. Estimated to be 0% next year.
If you bought $2,000 of Genesis Healthcare shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Genesis Healthcare's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Genesis Healthcare's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:GEN Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
United States of America Healthcare Industry Average Dividend Yield Market Cap Weighted Average of 21 Stocks 1.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2008 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:GEN Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.00 1.00
2020-12-31 0.00 2.00
2019-12-31 0.00 2.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Genesis Healthcare has not reported any payouts.
  • Unable to verify if Genesis Healthcare's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Genesis Healthcare's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Genesis Healthcare has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Genesis Healthcare's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Genesis Healthcare's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Genesis Healthcare afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Genesis Healthcare has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Genesis Healthcare's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
George Hager
COMPENSATION $1,359,512
AGE 62
TENURE AS CEO 4.2 years
CEO Bio

Mr. George V. Hager, Jr. has been the Chief Executive Officer of Genesis Healthcare, Inc. since February 2, 2015. From 2003 until 2015, Mr. Hager served as Chief Executive Officer of Genesis LLC. Prior to becoming Chief Executive Officer, he was Executive Vice President and Chief Financial Officer of Genesis LLC. He joined Genesis LLC in 1992 as Vice President and Chief Financial Officer and was named Senior Vice President and Chief Financial Officer in 1994. Mr. Hager has been Chief Executive Officer of Sun Healthcare Group, Inc since December 1, 2012. Mr. Hager serves as the Chief Executive Officer at Genesis Eldercare Rehabilitation Services, Inc. Mr. Hager serves as the Chief Executive Officer and Chairman at Meridian Healthcare Investments Inc. -Development General Partner of Meridian Healthcare Growth & Income Fund LP. Mr. Hager has over 25 years experience in the healthcare industry with a particular focus on long term care, finance, health policy and mergers and acquisitions He served as Executive Vice President and Chief Financial Officer of Multicare Companies Inc. Mr. Hager served as Senior Vice President of NeighborCare Inc., since 1994 and its Chief Financial Officer since 1992, where he was responsible for corporate finance, treasury, investor relations, information services, third-party reimbursement and risk management Real Estate and property management. Mr. Hager spent the first 13 years of his professional career at KPMG, LLP. From 1989 to 1992, he was the partner in charge of the health care practice group for the Philadelphia Region. He served as Chairman of Genesis Healthcare Inc., General Partner of Meridian Healthcare Growth & Income Fund LP from May 2003 to July 2007. He serves as a Director at Meridian Healthcare Investments Inc. -Development General Partner of Meridian Healthcare Growth & Income Fund LP. He has been a Director of Genesis Healthcare, Inc. since February 2, 2015. Mr. Hager has been a Director of Adolor Corporation since July 9, 2003. Mr. Hager serves on the Philadelphia Board for Corporate Governance. He has been Director of Sun Healthcare Group, Inc since December 01, 2012. He serves as Member of the Board at Delaware Valley Chapter of the Alzheimer's Association and REACH Medical Holdings, Inc. Mr. Hager served as a Director of Genesis HealthCare Inc., from May 2003 to July 2007. He served as a Director of Multicare Companies Inc. He served on the Boards of Manor College and Christ the King School. He serves as Member of the Board of Trustees and finance committee of The University of the Sciences in Philadelphia; and a Member of the Board and strategic planning and executive committees of the National investment center. He is a Certified Public Accountant. Mr. Hager holds a Bachelor of Arts degree in Economics from Dickinson College and a Master of Business Administration Degree in Finance from Rutgers Graduate School of Management.

CEO Compensation
  • George's compensation has increased whilst company is loss making.
  • George's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Genesis Healthcare management team in years:

4.2
Average Tenure
59
Average Age
  • The tenure for the Genesis Healthcare management team is about average.
Management Team

George Hager

TITLE
CEO & Director
COMPENSATION
$1M
AGE
62
TENURE
4.2 yrs

Tom DiVittorio

TITLE
CFO, Senior VP
COMPENSATION
$727K
AGE
50
TENURE
4.2 yrs

Paul Bach

TITLE
COO & Executive VP
COMPENSATION
$724K
AGE
59
TENURE
2.3 yrs

JoAnne Reifsnyder

TITLE
Executive VP of Clinical Operations & Chief Nursing Officer
COMPENSATION
$576K
AGE
59
TENURE
4.2 yrs

Rich Castor

TITLE
Chief Information Officer & Senior VP
AGE
63

Jim Tabak

TITLE
Senior Vice President of Administration & Government Affairs
AGE
59

Lori Mayer

TITLE
Vice President of Investor Relations

Mike Sherman

TITLE
Senior VP
AGE
49
TENURE
4.2 yrs

John Raley

TITLE
Senior Vice President of Human Resources
TENURE
1.3 yrs

Dick Blinn

TITLE
Executive VP and President of Northeast & Southeast Divisions
COMPENSATION
$372K
AGE
64
TENURE
15.3 yrs
Board of Directors Tenure

Average tenure and age of the Genesis Healthcare board of directors in years:

4.2
Average Tenure
62
Average Age
  • The tenure for the Genesis Healthcare board of directors is about average.
Board of Directors

Bob Fish

TITLE
Chairman & Lead Independent Director
COMPENSATION
$240K
AGE
67
TENURE
2 yrs

George Hager

TITLE
CEO & Director
COMPENSATION
$1M
AGE
62
TENURE
4.2 yrs

John DePodesta

TITLE
Independent Director
COMPENSATION
$195K
AGE
73
TENURE
4.2 yrs

Jim McKeon

TITLE
Director
COMPENSATION
$172K
AGE
53
TENURE
4.2 yrs

Jim Bloem

TITLE
Independent Director
COMPENSATION
$188K
AGE
68
TENURE
4.2 yrs

Terry Rappuhn

TITLE
Director
COMPENSATION
$136K
AGE
61
TENURE
2.3 yrs

Arnie Whitman

TITLE
Director
COMPENSATION
$166K
AGE
66
TENURE
4.2 yrs

Robert Hartman

TITLE
Director
COMPENSATION
$166K
AGE
61
TENURE
4.2 yrs

David Reis

TITLE
Director
COMPENSATION
$166K
AGE
57
TENURE
4.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
29. Nov 18 Sell David Reis Individual 27. Nov 18 27. Nov 18 -2,000,000 $1.33 $-2,660,000
09. Nov 18 Sell David Reis Individual 07. Nov 18 08. Nov 18 -53,369 $1.68 $-89,149
13. Jun 18 Sell Thomas DiVittorio Individual 12. Jun 18 12. Jun 18 -5,899 $2.28 $-13,457
13. Jun 18 Sell Stephen Young Individual 12. Jun 18 12. Jun 18 -3,665 $2.28 $-8,361
13. Jun 18 Sell Michael Sherman Individual 12. Jun 18 12. Jun 18 -3,516 $2.28 $-8,021
13. Jun 18 Sell JoAnne Reifsnyder Individual 12. Jun 18 12. Jun 18 -4,877 $2.28 $-11,125
13. Jun 18 Sell Paul Bach Individual 12. Jun 18 12. Jun 18 -5,735 $2.28 $-13,083
07. Jun 18 Sell Stephen Young Individual 05. Jun 18 05. Jun 18 -4,857 $2.19 $-10,643
07. Jun 18 Sell Michael Sherman Individual 05. Jun 18 05. Jun 18 -5,797 $2.19 $-12,703
07. Jun 18 Sell JoAnne Reifsnyder Individual 05. Jun 18 05. Jun 18 -7,488 $2.19 $-16,408
07. Jun 18 Sell Paul Bach Individual 05. Jun 18 05. Jun 18 -10,131 $2.19 $-22,200
07. Jun 18 Sell Thomas DiVittorio Individual 05. Jun 18 05. Jun 18 -9,404 $2.19 $-20,607
X
Management checks
We assess Genesis Healthcare's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Genesis Healthcare has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Could Genesis Healthcare, Inc.'s (NYSE:GEN) Investor Composition Influence The Stock Price?

A look at the shareholders of Genesis Healthcare, Inc. … Genesis Healthcare is a smaller company with a market capitalization of US$218m, so it may still be flying under the radar of many institutional investors. … Check out our latest analysis for Genesis Healthcare

Simply Wall St -

Have Insiders Been Selling Genesis Healthcare, Inc. (NYSE:GEN) Shares This Year?

So we'll take a look at whether insiders have been buying or selling shares in Genesis Healthcare, Inc. … Over the last year, we note insiders sold 2.11m shares worth US$2.9m. … All up, insiders sold more shares in Genesis Healthcare than they bought, over the last year

Simply Wall St -

Does Genesis Healthcare, Inc. (NYSE:GEN) Have A Volatile Share Price?

(NYSE:GEN), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

What Percentage Of Genesis Healthcare, Inc. (NYSE:GEN) Shares Do Insiders Own?

A look at the shareholders of Genesis Healthcare, Inc. … Genesis Healthcare is not a large company by global standards. … institutional investors have bought into the company.

Simply Wall St -

Is Genesis Healthcare Inc (NYSE:GEN) Excessively Paying Its CEO?

This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … According to our data, Genesis Healthcare Inc has a market capitalization of US$207m, and pays its CEO total annual compensation worth US$1.4m. … While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at US$889k

Simply Wall St -

Should You Be Worried When Genesis Healthcare Inc’s (NYSE:GEN) Insiders Sell?

Genesis Healthcare, Inc., together with its subsidiaries, owns and operates skilled nursing facilities and assisted/senior living facilities in the United States. … It is widely considered that insider selling stock in their own companies is potentially a bearish signal … The MIT Press (1998) published an article showing that stocks following insider selling underperformed the market by 2.7%

Simply Wall St -

An Intrinsic Calculation For Genesis Healthcare Inc (NYSE:GEN) Shows It's 47.18% Undervalued

How far off is Genesis Healthcare Inc (NYSE:GEN) from its intrinsic value? … by estimating the company's future cash flows and discounting them to their present value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

Should You Buy Genesis Healthcare Inc (NYSE:GEN)?

Genesis Healthcare Inc (NYSE:GEN), a healthcare company based in United States,. … See our latest analysis for Genesis Healthcare … Great news for investors – Genesis Healthcare is still trading at a fairly cheap price.

Simply Wall St -

Is Genesis Healthcare Inc (NYSE:GEN) Undervalued?

Genesis Healthcare Inc (NYSE:GEN), a healthcare company based in United States, saw a significant share price rise of over 20% in the past couple of months on the NYSE. … What’s more interesting is that, Genesis Healthcare’s share price is quite stable, which could mean two things: firstly, it may take the share price a while to move to its intrinsic value, and secondly, there may be less chances to buy low in the future once it reaches that value. … With a positive outlook on the horizon, it seems like this growth has not yet been fully factored into the share price.

Simply Wall St -

Genesis Healthcare Inc (NYSE:GEN) Is Trading At A 44% Discount

The sum of these cash flows is then discounted to today's value. … 5-year cash flow estimate 2018 2019 2020 2021 2022 Levered FCF ($, Millions) $50.82 $55.27 $60.11 $65.37 $71.09 Source Extrapolated @ (8.75%) Extrapolated @ (8.75%) Extrapolated @ (8.75%) Extrapolated @ (8.75%) Extrapolated @ (8.75%) Present Value Discounted @ 17.53% $43.24 $40.01 $37.02 $34.26 $31.70 Present Value of 5-year Cash Flow (PVCF)= $186 The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. … Terminal Value (TV) = FCF2022 × (1 + g) ÷ (r – g) = $71 × (1 + 2.5%) ÷ (17.5% – 2.5%) = $484 Present Value of Terminal Value (PVTV) = TV / (1 + r)5 = $484 / ( 1 + 17.5%)5 = $216 The total value is the sum of cash flows for the next five years and the discounted terminal value, which results in the Total Equity Value, which in this case is $402.

Simply Wall St -

Company Info

Description

Genesis Healthcare, Inc., together with its subsidiaries, owns and operates skilled nursing facilities and assisted/senior living facilities in the United States. The company operates through three segments: Inpatient Services, Rehabilitation Therapy Services, and All Other Services. It also provides a range of rehabilitation therapy services, including speech-language pathology, physical therapy, occupational therapy, and respiratory therapy. In addition, the company offers other specialty medical services, such as physician, staffing, and other healthcare related services. As of December 31, 2018, it provided inpatient services through a network of 425 skilled nursing and assisted/senior living facilities, including 399 skilled nursing facilities and 26 stand-alone assisted/senior living facilities across 29 states. Genesis HealthCare, Inc. also supplies rehabilitation and respiratory therapy to approximately 1,400 healthcare locations in 46 states and the District of Columbia. The company was formerly known as FC-GEN Operations Investment, LLC and changed its name to Genesis HealthCare, Inc. in February 2015. Genesis HealthCare, Inc. was founded in 2003 and is headquartered in Kennett Square, Pennsylvania.

Details
Name: Genesis Healthcare, Inc.
GEN
Exchange: NYSE
Founded: 2003
$218,405,250
$140,916,026
161,781,667
Website: http://www.genesishcc.com
Address: Genesis Healthcare, Inc.
101 East State Street,
Kennett Square,
Pennsylvania, 19348,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE GEN Class A Common Stock New York Stock Exchange US USD 03. Feb 2015
DB SH11 Class A Common Stock Deutsche Boerse AG DE EUR 03. Feb 2015
Number of employees
Current staff
Staff numbers
61,300
Genesis Healthcare employees.
Industry
Health Care Facilities
Healthcare
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/26 02:18
End of day share price update: 2019/04/25 00:00
Last estimates confirmation: 2019/04/17
Last earnings filing: 2019/03/18
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.