Sabra Health Care REIT combines high-quality fundamentals — 127% free cash flow conversion, a Piotroski score of 8/9, and 22% revenue growth — with a long-term moving average that is still rising, but weak near-term price momentum and a high short interest of 16% create near-term headwinds.
Thesis pillars
- Revenue Growth Acceleration↓Deteriorating
- Strong Cash Conversion Quality↑Improving
- Momentum Weakness Distribution↑Improving
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Feb 12, 2026· older than 90 days
Sabra Health Care REIT, Inc. (SBRA) Stock Analysis
Breakout setup
Real Estate · REIT - Healthcare Facilities
Sell if holding. Analyst target reached at $20.35 — A.R:R is negative (-0.5) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Sector modifier (Real Estate): -1.2.
Sabra Health Care REIT owns and invests in 360 healthcare properties across the U.S. and Canada, primarily skilled nursing/transitional care facilities (58.3% of portfolio by count), senior housing communities, behavioral health facilities, and specialty hospitals leased to... Read more
Sell if holding. Analyst target reached at $20.35 — A.R:R is negative (-0.5) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Sector modifier (Real Estate): -1.2. Chart setup: Golden cross, above all MAs, RSI 64, MACD bullish. Score 5.8/10, moderate confidence.
Passes 6/7 gates (positive momentum, clean insider activity, no SEC red flags, earnings proximity 99d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.
About Sabra Health Care REIT, Inc.
About Sabra Health Care REIT, Inc.
Sabra Health Care REIT held 360 real estate properties at December 31, 2025, spanning skilled nursing/transitional care (210 facilities, 58.3% of portfolio), senior housing managed (87 communities, 24.2%), senior housing leased (32 facilities, 8.9%), behavioral health (16 facilities, 4.4%), and specialty hospitals (15 facilities, 4.2%), with total undepreciated book value of $5.909 billion. Texas represented the largest geographic concentration at 15.6% of total properties (56 facilities). The portfolio also included 13 loans receivable totaling $377 million in principal balance at a weighted-average contractual rate of 7.7% and four preferred equity investments of $65 million at 11.0%.
Sabra generates revenue primarily through triple-net leases on 273 facilities, under which tenants bear all property operating expenses, taxes, insurance, and maintenance. Leases run from less than one year to 18 years with a weighted-average remaining term of 7 years and generally include provisions to extend. The 87 Senior Housing - Managed communities operate under property management agreements where third-party managers receive a management fee while Sabra bears direct operational exposure to occupancy and rate fluctuations. The company's tenants depend heavily on Medicare, Medicaid, and private third-party payors for revenue, creating regulatory reimbursement risk. The filing notes CMS projects nursing home expenditures to grow from approximately $229 billion in 2024 to approximately $386 billion in 2033 at a 6.0% CAGR, providing a demand tailwind.
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Sabra's single largest credit risk is tenant financial health rather than tenant concentration — the company explicitly states no tenant represented 10% or more of total revenues in 2025. However, its tenants face intensifying regulatory enforcement, potential Medicare/Medicaid reimbursement reductions (noted as a risk from President Trump and Congress), and labor cost inflation from minimum staffing requirements and wage pressures. The company's dependence on its President and CEO Mr. Matros is named explicitly as a key-person risk, and the 87 Senior Housing - Managed communities expose the balance sheet directly to occupancy and labor cost volatility rather than behind a NNN lease structure.
See also: Real Estate · REIT - Healthcare Facilities
From Sabra Health Care REIT, Inc.'s most recent 10-K filing, extracted June 11, 2026.
Recent developments
updated Nov 2, 2026Recent Developments — Sabra Health Care REIT, Inc.
Latest news
- NEWS Sabra Healthcare REIT (NASDAQ:SBRA) Issues Earnings Results, Misses Estimates By $0.05 EPS - MarketBeat — MarketBeat Nov 2, 2026 negative
- NEWS Sabra Health Care (SBRA) Set to Report Q3 Earnings Amid Dividend Sustainability Focus - GuruFocus — GuruFocus Nov 1, 2026 neutral
- NEWS Sabra Health Care REIT (SBRA) Pulls Back Despite SHOP Focus, Is It Still Below Fair Value? - Simply Wall St — Simply Wall St Oct 25, 2026 neutral
- NEWS Sabra Health Care REIT Q2 Revenue Beats Estimates, AFFO Rises to $0.40 - scanx.trade — scanx.trade Aug 4, 2026 positive
- NEWS Sei Investments Co. Raises Stock Position in Sabra Healthcare REIT, Inc. $SBRA - MarketBeat — MarketBeat Aug 2, 2026 positive
Latest item Nov 2, 2026 · Generated 2026-11-04T11:44:36Z.
Upcoming dated catalysts
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Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
1 floor-breaker·1 ceiling hit
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Analyst target reached at $20.35 — A.R:R is negative (-0.5) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Sector modifier (Real Estate): -1.2. Chart setup: Golden cross, above all MAs, RSI 64, MACD bullish. Prior stop was $19.35. Score 5.8/10, moderate confidence.
Analyst target $19.45 reached (−4.4% from $20.35); no take-profit level is published. Prior stop was $19.35. Stop-loss: $19.35.
Analyst target reached - limited upside remaining; Sector modifier (Real Estate): -1.2.
Sabra Health Care REIT, Inc. trades at a P/E of 75.4 (forward 25.1). TrendMatrix value score: 4.3/10. Verdict: Sell.
23 analysts rate SBRA, with a consensus score of 3.7/5. 14 analysts publish price targets averaging $22.
What does Sabra Health Care REIT, Inc. do?Sabra Health Care REIT owns and invests in 360 healthcare properties across the U.S. and Canada, primarily skilled...
Sabra Health Care REIT owns and invests in 360 healthcare properties across the U.S. and Canada, primarily skilled nursing/transitional care facilities (58.3% of portfolio by count), senior housing communities, behavioral health facilities, and specialty hospitals leased to third-party operators. Revenue is generated through triple-net operating leases (273 facilities, weighted-average remaining term of 7 years) and management agreements for 87 Senior Housing - Managed communities, with no single tenant representing 10%+ of total revenues in 2025.