WallStSmart

Omega Healthcare Investors Inc (OHI)vsSabra Healthcare REIT Inc (SBRA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Omega Healthcare Investors Inc generates 53% more annual revenue ($1.19B vs $775.76M). OHI leads profitability with a 49.6% profit margin vs 20.1%. SBRA appears more attractively valued with a PEG of 3.15. OHI earns a higher WallStSmart Score of 67/100 (B-).

OHI

Strong Buy

67

out of 100

Grade: B-

Growth: 8.0Profit: 8.0Value: 7.3Quality: 7.0
Piotroski: 4/9Altman Z: 0.78

SBRA

Buy

57

out of 100

Grade: C

Growth: 5.3Profit: 6.5Value: 4.7Quality: 5.3
Piotroski: 5/9Altman Z: 0.46
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

OHIUndervalued (+48.5%)

Margin of Safety

+48.5%

Fair Value

$90.79

Current Price

$44.73

$46.06 discount

UndervaluedFair: $90.79Overvalued
SBRASignificantly Overvalued (-350.6%)

Margin of Safety

-350.6%

Fair Value

$4.35

Current Price

$19.84

$15.49 premium

UndervaluedFair: $4.35Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

OHI4 strengths · Avg: 9.0/10
Profit MarginProfitability
49.6%10/10

Keeps 50 of every $100 in revenue as profit

Operating MarginProfitability
63.2%10/10

Strong operational efficiency at 63.2%

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

EPS GrowthGrowth
34.6%8/10

Earnings expanding 34.6% YoY

SBRA4 strengths · Avg: 8.3/10
Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
23.7%8/10

Strong operational efficiency at 23.7%

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

Areas to Watch

OHI3 concerns · Avg: 2.0/10
PEG RatioValuation
11.992/10

Expensive relative to growth rate

Free Cash FlowQuality
$-486.00M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.782/10

Distress zone — elevated risk

SBRA4 concerns · Avg: 2.8/10
P/E RatioValuation
31.0x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
5.6%3/10

ROE of 5.6% — below average capital efficiency

PEG RatioValuation
3.152/10

Expensive relative to growth rate

EPS GrowthGrowth
-44.7%2/10

Earnings declined 44.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : OHI

The strongest argument for OHI centers on Profit Margin, Operating Margin, Price/Book. Profitability is solid with margins at 49.6% and operating margin at 63.2%. Revenue growth of 14.3% demonstrates continued momentum.

Bull Case : SBRA

The strongest argument for SBRA centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 20.1% and operating margin at 23.7%. Revenue growth of 15.8% demonstrates continued momentum.

Bear Case : OHI

The primary concerns for OHI are PEG Ratio, Free Cash Flow, Altman Z-Score.

Bear Case : SBRA

The primary concerns for SBRA are P/E Ratio, Return on Equity, PEG Ratio.

Key Dynamics to Monitor

OHI profiles as a mature stock while SBRA is a growth play — different risk/reward profiles.

SBRA carries more volatility with a beta of 0.64 — expect wider price swings.

SBRA is growing revenue faster at 15.8% — sustainability is the question.

SBRA generates stronger free cash flow (87M), providing more financial flexibility.

Bottom Line

OHI scores higher overall (67/100 vs 57/100), backed by strong 49.6% margins and 14.3% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Omega Healthcare Investors Inc

REAL ESTATE · REIT - HEALTHCARE FACILITIES · USA

Omega is a real estate investment trust that invests in the long-term healthcare industry, primarily skilled nursing and assisted living facilities.

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Sabra Healthcare REIT Inc

REAL ESTATE · REIT - HEALTHCARE FACILITIES · USA

As of September 30, 2020, Sabra's investment portfolio included 425 real estate properties held for investment (consisting of (i) 287 skilled nursing / transitional care facilities, (ii) 64 senior housing communities (?

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