NYSE:SNR

Stock Analysis Report

New Senior Investment Group

Executive Summary

New Senior Investment Group Inc. (NYSE: SNR) is a publicly-traded real estate investment trust with a diversified portfolio of senior housing properties located across the United States.

Rewards

Trading at 15.7% below its fair value

Risk Analysis

Currently unprofitable and not forecast to become profitable over the next 3 years

Dividend of 6.86% is not well covered by earnings



Snowflake Analysis

Second-rate dividend payer and overvalued.

Share Price & News

How has New Senior Investment Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SNR has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.6%

SNR

-3.1%

US REITs

0.8%

US Market


1 Year Return

65.1%

SNR

13.0%

US REITs

22.0%

US Market

Return vs Industry: SNR exceeded the US REITs industry which returned 13% over the past year.

Return vs Market: SNR exceeded the US Market which returned 22% over the past year.


Shareholder returns

SNRIndustryMarket
7 Day-2.6%-3.1%0.8%
30 Day-2.2%-3.0%1.7%
90 Day14.5%-3.2%5.2%
1 Year79.3%65.1%17.7%13.0%24.7%22.0%
3 Year4.5%-23.3%31.3%14.8%46.9%37.3%
5 Year-28.5%-55.8%48.4%17.6%65.5%47.3%

Price Volatility Vs. Market

How volatile is New Senior Investment Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is New Senior Investment Group undervalued compared to its fair value and its price relative to the market?

15.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SNR ($7.58) is trading below our estimate of fair value ($8.99)

Significantly Below Fair Value: SNR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: SNR is unprofitable, so we can't compare its PE Ratio to the REITs industry average.

PE vs Market: SNR is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SNR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SNR is overvalued based on its PB Ratio (2.5x) compared to the US REITs industry average (1.9x).


Next Steps

Future Growth

How is New Senior Investment Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

33.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SNR is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: SNR is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: SNR is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: SNR's revenue is expected to decline over the next 3 years (-7.1% per year).

High Growth Revenue: SNR's revenue is forecast to decline over the next 3 years (-7.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SNR is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has New Senior Investment Group performed over the past 5 years?

-9.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SNR is currently unprofitable.

Growing Profit Margin: SNR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SNR is unprofitable, and losses have increased over the past 5 years at a rate of -9.2% per year.

Accelerating Growth: Unable to compare SNR's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SNR is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (8.3%).


Return on Equity

High ROE: SNR has a negative Return on Equity (-26.95%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is New Senior Investment Group's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: SNR has a high level of physical assets or inventory.

Debt Coverage by Assets: SNR's debt is not covered by short term assets (assets are 0x debt).


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.

Stable Cash Runway: Whilst unprofitable SNR has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: SNR is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -14.4% per year.


Financial Institutions Analysis

Asset Level: SNR's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if SNR has a sufficient allowance for bad loans.

Low Risk Liabilities: SNR reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if SNR has an acceptable proportion of non-loan assets held.

Low Risk Deposits: SNR has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if SNR has an appropriate level of bad loans.


Next Steps

Dividend

What is New Senior Investment Group's current dividend yield, its reliability and sustainability?

6.86%

Current Dividend Yield


Dividend Yield vs Market

company6.9%marketbottom25%1.4%markettop25%3.7%industryaverage3.8%forecastin3Years6.9%

Current dividend yield vs market & industry

Notable Dividend: SNR's dividend (6.86%) is higher than the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: SNR's dividend (6.86%) is in the top 25% of dividend payers in the US market (3.71%)


Stability and Growth of Payments

Stable Dividend: SNR has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SNR has only been paying a dividend for 5 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (328.6%), SNR's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SNR's dividends in 3 years are forecast to be thoroughly covered by earnings (1% payout ratio).


Next Steps

Management

What is the CEO of New Senior Investment Group's salary, the management and board of directors tenure and is there insider trading?

0.7yrs

Average management tenure


CEO

Susan Givens (42yo)

5.2yrs

Tenure

0

Ms. Susan Givens has served as the Chief Executive Officer of New Senior Investment Group and as a member of its Board of Directors since October 2014. Ms. Givens has nearly 20 years of private equity, cap ...


Management Age and Tenure

0.7yrs

Average Tenure

42yo

Average Age

Experienced Management: SNR's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.


Board Age and Tenure

5.2yrs

Average Tenure

51yo

Average Age

Experienced Board: SNR's board of directors are considered experienced (5.2 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Bhairav Patel (41yo)

    Executive VP of Finance & Accounting and Chief Accounting Officer

    • Tenure: 0.3yrs
    • Compensation: US$883.79k
  • Susan Givens (42yo)

    CEO & Director

    • Tenure: 5.2yrs
  • Cameron MacDougall (43yo)

    Secretary

    • Tenure: 0yrs
  • Lori Marino

    Executive VP

    • Tenure: 0.7yrs
  • Jane Ryu

    Vice President

    • Tenure: 0yrs

Board Members

  • Stuart McFarland (72yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: US$160.00k
  • Bob Savage (51yo)

    Independent Chairman

    • Tenure: 0.9yrs
    • Compensation: US$450.00k
  • Virgis Colbert (79yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: US$150.00k
  • J. Hutchens

    Independent Director

    • Tenure: 0.5yrs
  • Mike Malone (65yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: US$150.00k
  • Susan Givens (42yo)

    CEO & Director

    • Tenure: 5.2yrs
  • Cassia van der Hoof Holstein (43yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: US$150.00k
  • David Milner (51yo)

    Independent Director

    • Tenure: 1.8yrs
    • Compensation: US$425.37k

Company Information

New Senior Investment Group Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: New Senior Investment Group Inc.
  • Ticker: SNR
  • Exchange: NYSE
  • Founded:
  • Industry: Health Care REITs
  • Sector: Real Estate
  • Market Cap: US$628.870m
  • Shares outstanding: 82.96m
  • Website: https://www.newseniorinv.com

Number of Employees


Location

  • New Senior Investment Group Inc.
  • 55 West 46th Street
  • Suite 2204
  • New York
  • New York
  • 10036
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SNRNYSE (New York Stock Exchange)YesCommon StockUSUSDOct 2014

Biography

New Senior Investment Group Inc. (NYSE: SNR) is a publicly-traded real estate investment trust with a diversified portfolio of senior housing properties located across the United States. As of September 30 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/16 00:39
End of Day Share Price2019/12/13 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.