Brookdale Senior Living (NYSE:BKD) Hits New 1-Year Low - Here's What Happened

Brookdale Senior Living Inc. (NYSE:BKD) has recently experienced a significant downturn, hitting a 52-week low during trading hours on Wednesday. The share price fell to $4.67 before settling at $4.77, with a trading volume of 565,055 shares. This decline reflects a decrease from its previous closing price of $4.87.

Analyst Ratings Changes

Several analysts have offered their insights regarding Brookdale Senior Living. On December 20th, Macquarie reaffirmed an "outperform" rating with a price target of $8.00. However, Bank of America took a more cautious view, downgrading their rating from "neutral" to "underperform" and lowering their target price from $7.75 to $6.00 on October 7th. Jefferies Financial Group began coverage with a favorable "buy" rating and a price target of $8.00 on October 16th. Additionally, Royal Bank of Canada reiterated an "outperform" rating, also setting a price objective of $8.00 on December 20th. Currently, the consensus among investment analysts is a rating of "Hold" with an average price target of $7.50.

Brookdale Senior Living Trading Down 2.5 %

The market capitalization for Brookdale Senior Living is approximately $922.34 million, demonstrating a price-to-earnings (PE) ratio of -5.03 and a beta of 1.31. The company also has a notably high debt-to-equity ratio of 14.46, along with current and quick ratios both at 0.81. Comparatively, the 50-day moving average sits at $5.16, while the two-hundred day moving average is $6.14.

As for earnings, Brookdale Senior Living posted its results on November 6th, reporting a loss of $0.22 per share for the quarter, which was below the consensus estimate of a loss of $0.16. The company had a negative net margin of 6.75% and a return on equity of -59.06%. Revenue reported for the quarter was $784.17 million, slightly below the anticipated $785.61 million. Analysts project that the company will report earnings of -0.68 per share for the current fiscal year.

Insider Buying and Selling

On December 5th, Director Lee S. Wielansky sold 10,000 shares of Brookdale Senior Living at an average price of $5.62, totaling $56,200. After this sale, the director's ownership reduced to 211,382 shares, now valued at around $1,187,966.84. Insiders now hold about 1.80% of the company's stock.

Institutional Trading of Brookdale Senior Living

Several institutional investors have recently adjusted their investments in Brookdale Senior Living. Adelante Capital Management LLC acquired a new position in the 3rd quarter valued at approximately $12,076,000. Additionally, Rush Island Management LP increased its stake by 31.9%, owning over 5 million shares worth about $34.74 million after purchasing an additional 1.24 million shares. Wellington Management Group LLP also raised its position by 11.4%, acquiring 799,744 new shares valued at about $53.14 million. Other investors like the Healthcare of Ontario Pension Plan Trust Fund and Vision Capital Corp also made significant adjustments to their holdings in the company.

Brookdale Senior Living Company Profile

Brookdale Senior Living Inc. specializes in owning, managing, and operating senior living facilities across the United States. The company is divided into three segments: Independent Living, Assisted Living and Memory Care, and Continuing Care Retirement Communities (CCRCs). Its Independent Living segment focuses on communities designed primarily for middle to upper-income seniors.

Should You Invest $1,000 in Brookdale Senior Living Right Now?

Before making any investment decisions regarding Brookdale Senior Living, potential investors may want to consider other higher-rated opportunities. Currently, the company holds a "Moderate Buy" rating among analysts, but some have identified five alternative stocks as better buys at this time.

Brookdale, Senior, Living