OMEGA HEALTHCARE INVESTORS (OHI) Stock Fundamental Analysis
USA - NYSE:OHI - US6819361006 - REIT
41.01 USD
+0.65 (+1.61%)
We assign a fundamental rating of 6 out of 10 to OHI. OHI was compared to 129 industry peers in the Diversified REITs industry. OHI has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, OHI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year OHI was profitable.
OHI had a positive operating cash flow in the past year.
In the past 5 years OHI has always been profitable.
In the past 5 years OHI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of OHI (4.32%) is better than 89.92% of its industry peers.
OHI has a better Return On Equity (9.13%) than 86.05% of its industry peers.
OHI has a Return On Invested Capital of 5.38%. This is amongst the best in the industry. OHI outperforms 94.57% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OHI is in line with the industry average of 3.01%.
The 3 year average ROIC (4.40%) for OHI is below the current ROIC(5.38%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.32% | ||
| ROE | 9.13% | ||
| ROIC | 5.38% |
ROA(3y)3.77%
ROA(5y)3.46%
ROE(3y)9.19%
ROE(5y)8.47%
ROIC(3y)4.4%
ROIC(5y)4.37%
1.3 Margins
The Profit Margin of OHI (40.86%) is better than 92.25% of its industry peers.
OHI's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 62.27%, OHI belongs to the best of the industry, outperforming 97.67% of the companies in the same industry.
OHI's Operating Margin has been stable in the last couple of years.
OHI has a better Gross Margin (98.78%) than 100.00% of its industry peers.
In the last couple of years the Gross Margin of OHI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 62.27% | ||
| PM (TTM) | 40.86% | ||
| GM | 98.78% |
OM growth 3Y5.61%
OM growth 5Y1.01%
PM growth 3Y-0.48%
PM growth 5Y1.03%
GM growth 3Y-0.08%
GM growth 5Y0.04%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so OHI is destroying value.
The number of shares outstanding for OHI has been increased compared to 1 year ago.
Compared to 5 years ago, OHI has more shares outstanding
The debt/assets ratio for OHI has been reduced compared to a year ago.
2.2 Solvency
OHI has an Altman-Z score of 1.21. This is a bad value and indicates that OHI is not financially healthy and even has some risk of bankruptcy.
With an excellent Altman-Z score value of 1.21, OHI belongs to the best of the industry, outperforming 83.72% of the companies in the same industry.
A Debt/Equity ratio of 1.00 is on the high side and indicates that OHI has dependencies on debt financing.
The Debt to Equity ratio of OHI (1.00) is better than 60.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.21 |
ROIC/WACC0.74
WACC7.22%
2.3 Liquidity
A Current Ratio of 2.86 indicates that OHI has no problem at all paying its short term obligations.
With an excellent Current ratio value of 2.86, OHI belongs to the best of the industry, outperforming 89.92% of the companies in the same industry.
A Quick Ratio of 2.86 indicates that OHI has no problem at all paying its short term obligations.
The Quick ratio of OHI (2.86) is better than 89.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.86 | ||
| Quick Ratio | 2.86 |
3. Growth
3.1 Past
OHI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 29.01%, which is quite impressive.
OHI shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.38% yearly.
The Revenue has grown by 14.04% in the past year. This is quite good.
OHI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.51% yearly.
EPS 1Y (TTM)29.01%
EPS 3Y-4.33%
EPS 5Y-0.38%
EPS Q2Q%2.22%
Revenue 1Y (TTM)14.04%
Revenue growth 3Y-0.36%
Revenue growth 5Y2.51%
Sales Q2Q%11.78%
3.2 Future
OHI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.45% yearly.
Based on estimates for the next years, OHI will show a small growth in Revenue. The Revenue will grow by 0.62% on average per year.
EPS Next Y9.34%
EPS Next 2Y8.35%
EPS Next 3Y6.5%
EPS Next 5Y22.45%
Revenue Next Year11.64%
Revenue Next 2Y9.79%
Revenue Next 3Y8.6%
Revenue Next 5Y0.62%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 24.27, OHI is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of OHI indicates a somewhat cheap valuation: OHI is cheaper than 75.97% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.29, OHI is valued at the same level.
With a Price/Forward Earnings ratio of 22.54, OHI is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OHI indicates a rather cheap valuation: OHI is cheaper than 86.82% of the companies listed in the same industry.
OHI's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.27 | ||
| Fwd PE | 22.54 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of OHI indicates a slightly more expensive valuation: OHI is more expensive than 63.57% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 16.01 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of OHI may justify a higher PE ratio.
PEG (NY)2.6
PEG (5Y)N/A
EPS Next 2Y8.35%
EPS Next 3Y6.5%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.67%, OHI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.99, OHI pays a bit more dividend than its industry peers.
OHI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.67% |
5.2 History
The dividend of OHI decreases each year by -0.86%.
OHI has been paying a dividend for at least 10 years, so it has a reliable track record.
OHI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.86%
Div Incr Years0
Div Non Decr Years21
5.3 Sustainability
162.15% of the earnings are spent on dividend by OHI. This is not a sustainable payout ratio.
DP162.15%
EPS Next 2Y8.35%
EPS Next 3Y6.5%
NYSE:OHI (10/17/2025, 2:30:37 PM)
41.01
+0.65 (+1.61%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners76.93%
Inst Owner Change-0.01%
Ins Owners0.17%
Ins Owner Change0.44%
Market Cap12.10B
Analysts72.38
Price Target44.1 (7.53%)
Short Float %3.89%
Short Ratio5.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.67% |
Yearly Dividend2.61
Dividend Growth(5Y)-0.86%
DP162.15%
Div Incr Years0
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.99%
Min EPS beat(2)-10.4%
Max EPS beat(2)6.41%
EPS beat(4)2
Avg EPS beat(4)0.12%
Min EPS beat(4)-10.4%
Max EPS beat(4)8.95%
EPS beat(8)4
Avg EPS beat(8)-2.02%
EPS beat(12)5
Avg EPS beat(12)-11.04%
EPS beat(16)8
Avg EPS beat(16)-1.53%
Revenue beat(2)0
Avg Revenue beat(2)-4.8%
Min Revenue beat(2)-5.07%
Max Revenue beat(2)-4.52%
Revenue beat(4)2
Avg Revenue beat(4)-1.48%
Min Revenue beat(4)-5.07%
Max Revenue beat(4)3.35%
Revenue beat(8)5
Avg Revenue beat(8)-0.41%
Revenue beat(12)7
Avg Revenue beat(12)-3.22%
Revenue beat(16)9
Avg Revenue beat(16)-2.02%
PT rev (1m)2.76%
PT rev (3m)7.36%
EPS NQ rev (1m)0.45%
EPS NQ rev (3m)2.74%
EPS NY rev (1m)1.21%
EPS NY rev (3m)1.21%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)1.57%
Revenue NY rev (1m)-0.59%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.27 | ||
| Fwd PE | 22.54 | ||
| P/S | 10.85 | ||
| P/FCF | N/A | ||
| P/OCF | 14.49 | ||
| P/B | 2.43 | ||
| P/tB | 2.8 | ||
| EV/EBITDA | 16.01 |
EPS(TTM)1.69
EY4.12%
EPS(NY)1.82
Fwd EY4.44%
FCF(TTM)-0.21
FCFYN/A
OCF(TTM)2.83
OCFY6.9%
SpS3.78
BVpS16.91
TBVpS14.62
PEG (NY)2.6
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.32% | ||
| ROE | 9.13% | ||
| ROCE | 6.81% | ||
| ROIC | 5.38% | ||
| ROICexc | 5.79% | ||
| ROICexgc | 6.38% | ||
| OM | 62.27% | ||
| PM (TTM) | 40.86% | ||
| GM | 98.78% | ||
| FCFM | N/A |
ROA(3y)3.77%
ROA(5y)3.46%
ROE(3y)9.19%
ROE(5y)8.47%
ROIC(3y)4.4%
ROIC(5y)4.37%
ROICexc(3y)4.62%
ROICexc(5y)4.51%
ROICexgc(3y)5.11%
ROICexgc(5y)4.96%
ROCE(3y)5.57%
ROCE(5y)5.53%
ROICexcg growth 3Y6.74%
ROICexcg growth 5Y4.93%
ROICexc growth 3Y6.44%
ROICexc growth 5Y4.57%
OM growth 3Y5.61%
OM growth 5Y1.01%
PM growth 3Y-0.48%
PM growth 5Y1.03%
GM growth 3Y-0.08%
GM growth 5Y0.04%
F-Score7
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.95 | ||
| Cap/Depr | 283.85% | ||
| Cap/Sales | 80.53% | ||
| Interest Coverage | 3.04 | ||
| Cash Conversion | 82.66% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.86 | ||
| Quick Ratio | 2.86 | ||
| Altman-Z | 1.21 |
F-Score7
WACC7.22%
ROIC/WACC0.74
Cap/Depr(3y)109.04%
Cap/Depr(5y)117.96%
Cap/Sales(3y)35.29%
Cap/Sales(5y)38.61%
Profit Quality(3y)94.64%
Profit Quality(5y)123.55%
High Growth Momentum
Growth
EPS 1Y (TTM)29.01%
EPS 3Y-4.33%
EPS 5Y-0.38%
EPS Q2Q%2.22%
EPS Next Y9.34%
EPS Next 2Y8.35%
EPS Next 3Y6.5%
EPS Next 5Y22.45%
Revenue 1Y (TTM)14.04%
Revenue growth 3Y-0.36%
Revenue growth 5Y2.51%
Sales Q2Q%11.78%
Revenue Next Year11.64%
Revenue Next 2Y9.79%
Revenue Next 3Y8.6%
Revenue Next 5Y0.62%
EBIT growth 1Y27.34%
EBIT growth 3Y5.23%
EBIT growth 5Y3.54%
EBIT Next Year72.47%
EBIT Next 3Y25.17%
EBIT Next 5Y19.73%
FCF growth 1Y-120.4%
FCF growth 3Y189.54%
FCF growth 5Y49.66%
OCF growth 1Y38.65%
OCF growth 3Y1.24%
OCF growth 5Y6.24%