Sonida senior VP Michael Karicher buys $44,000 in stock Via Investing.com
Michael Karicher, Vice President and Chief People Officer at Sonida Senior Living, Inc. (NYSE:SNDA), recently acquired 2,000 shares of the company’s common stock. The transaction, dated November 15, 2024, was made at a price of $22 per share, for a total of $44,000. After this purchase, Karicher’s direct ownership in the company stands at 46,965 shares. This step shows that you continue to trust the company.
In other recent news, Sunita Senior Living announced significant growth during its third quarter, including a record occupancy rate of 87%, a significant increase in net operating income, and strategic financing activities such as acquisitions, a new line of credit, and expanded mortgage terms through Fannie Mae (OTC:). The company’s management expressed optimism for future growth, supported by strong operating performance and a promising pipeline of acquisitions.
Sunita Senior Living’s financing activities include acquiring 14 new communities, a $130 million equity offering, and a $150 million line of credit. The company’s total operating income in same-store communities increased by 18.3%, excluding non-recurring government grants. Company management is confident of exceeding the portfolio’s 90% occupancy goal in the future.
The company added 2,000 units by 2024, marking a 30% increase in its operational portfolio. Sunita Senior Living is focused on reducing its debt and improving its debt-to-EBITDA ratio, with a target of less than 7x. Management expects to achieve positive recurring cash flow by the end of 2024.
However, occupancy rates have seen a slight decline from Q2 2024 due to occupancy fluctuations. Operating costs, while showing signs of recovery, remain a concern as labor costs are an important part of revenue.
Despite these challenges, Sunita Senior Living has reported 14 consecutive quarters of same-store portfolio growth. The company’s year-to-date investment of more than $18 million is directed toward NOI-producing projects, which are expected to improve performance by 2025. These are the latest developments in Sunita Senior Living’s operations.
InvestingPro Insights
Michael Karicher’s recent acquisition of Sonida Senior Living shares comes at an interesting time for the company. According to InvestingPro data, SNDA stock has experienced significant volatility recently, with a decrease of 9.77% in the last week and a decrease of 20.17% in the last month. Despite these short-term setbacks, the company’s stock has shown impressive performance over the long term, boasting a total return of 139.22% over the past year.
This insider trading is accompanied by some positive financial indicators. Sonida’s revenue growth stands at 10.95% over the past twelve months from Q3 2024, with quarterly revenue growth of 14.1% over the same period. The company’s EBITDA has also seen significant growth, increasing by 29.71% over the past twelve months.
However, investors should note that Sonida is currently operating at a loss, with adjusted operating income of $12.86 million over the past twelve months. This is reflected in the company’s negative P/E ratio of -6.48, indicating that the company is not yet profitable.
InvestingPro Tips highlights that although Sonida’s stock has recently gained popularity, it has made high profits over the past year. Additionally, the company’s liquid assets exceed its short-term liabilities, which may provide some financial stability.
For a comprehensive analysis, InvestingPro offers 6 additional tips for Sonida Senior Living, giving investors a deeper understanding of the company’s financial health and market conditions.
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