Brookdale Senior Living (BKD) AI Stock Analysis

• Market Cap: $1.61B
• Dividend Yield: N/A
• Average Volume (3M): 3.37M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.35
• Revenue Growth: 3.88%
• EPS Growth: -34.30%
• Country: US
• Employees: 24,480
• Sector: Healthcare
• Sector Strength: 41
• Industry: Medical - Care Facilities
• EPS (TTM): -0.28
• Shares Outstanding: 234,347,850
• 10 Day Avg. Volume: 3,352,165
• 30 Day Avg. Volume: 3,367,131
• PEG Ratio: -2.14
• Price to Book (P/B): 6.64
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 79.67
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $7.63
• Price Target Upside: 13.04% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

Brookdale Senior Living's stock score reflects ongoing financial challenges due to high leverage and net losses, balanced by positive earnings call insights and strategic corporate events. Technical indicators show upward momentum, though valuation concerns persist.

Positive Factors

Demographics and Market Demand

The aging baby boomer population is expected to drive a significant increase in demand for senior housing units, benefiting BKD.

Occupancy Rates

Occupancy is trending ahead of typical seasonality patterns, which, together with emerging pricing power, should set up BKD for better-than-expected revenue and EBITDA throughout the year.

Negative Factors

Competitive Positioning

Analyst reiterates an Underperform rating as BKD is seen as worse positioned compared to peers to benefit from senior housing industry tailwinds.

Cost and Expense Management

BKD noted the typical seasonal items: more workdays vs Q1, merit increases, and utility costs. The three items combined to be $10m adj EBITDA headwind in Q2 vs Q1.

Brookdale Senior Living Business Overview & Revenue Model

Company Description

Brookdale Senior Living Inc. (BKD) is a leading operator of senior living communities in the United States. The company provides a broad range of services to its residents, including independent living, assisted living, memory care, and rehabilitation. Brookdale is committed to enriching the lives of seniors by offering a variety of care options tailored to meet individual needs, fostering a supportive and engaging environment for its residents.

How the Company Makes Money

Brookdale Senior Living generates revenue primarily through resident fees for its senior living services. These fees vary based on the level of care and type of accommodation provided, such as independent living, assisted living, or memory care. The company also earns income from ancillary services, including therapy, home health, and hospice services, which are either billed directly to residents or to third-party payers like Medicare and Medicaid. Additionally, Brookdale may engage in partnerships with healthcare providers to enhance service offerings and optimize care delivery. The company focuses on maximizing occupancy rates in its communities as a key driver of revenue growth and profitability.

Brookdale Senior Living Financial Statement Overview

Summary

Brookdale Senior Living's financial performance indicates challenges with profitability and high leverage. The income statement reflects moderate revenue growth but persistent net losses. The balance sheet shows high debt-to-equity ratios, posing financial risks. Cash flow has improved, but free cash flow remains low, highlighting the need for better financial management.

Income Statement

The company shows a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) revenue of $3.13 billion indicates a moderate growth rate compared to the previous year. However, the company suffers from consistent net losses, with a net profit margin of -6.46% in the TTM. Despite slight improvements in EBIT and EBITDA margins, overall profitability remains a concern.

Balance Sheet

The balance sheet reveals significant financial leverage, with a high debt-to-equity ratio of 6.78 in the TTM. The company's equity ratio has decreased, indicating a reliance on debt financing. Negative stockholders' equity is a potential risk, though some improvement is seen in asset management efficiency.

Cash Flow

Cash flow analysis shows improvement in operating cash flow, but free cash flow remains low. The free cash flow to net income ratio is positive at 0.08, showing some efficiency in cash generation despite net losses. The increase in free cash flow from the previous year suggests improving cash management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.13B	3.01B	2.74B	2.75B	3.42B
	Gross Profit
799.31M	737.63M	513.94M	488.58M	681.40M
	EBIT
46.53M	18.41M	-85.10M	-185.74M	9.22M
	EBITDA
413.45M	370.44M	268.79M	159.32M	374.88M
	Net Income Common Stockholders
-201.94M	-189.01M	-238.34M	-99.36M	82.02M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
328.80M	307.73M	447.53M	529.42M	553.33M
	Total Assets
6.34B	5.57B	5.94B	6.41B	6.90B
	Total Debt
1.63B	4.73B	4.89B	5.23B	5.21B
	Net Debt
1.32B	4.45B	4.49B	4.88B	4.83B
	Total Liabilities
6.12B	5.17B	5.35B	5.71B	6.10B
	Stockholders Equity
212.47M	403.66M	582.61M	697.40M	800.43M
Cash Flow		Free Cash Flow
166.18M	-70.28M	-193.64M	-271.29M	19.78M
	Operating Cash Flow
166.18M	162.92M	3.28M	-94.63M	205.65M
	Investing Cash Flow
-278.07M	-113.36M	-67.43M	181.46M	-425.11M
	Financing Cash Flow
142.06M	-174.44M	100.38M	-113.66M	382.91M

Brookdale Senior Living Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BKD, the sentiment is Positive. The current price of 6.75 is above the 20-day moving average (MA) of 6.54, above the 50-day MA of 6.19, and above the 200-day MA of 5.97, indicating a bullish trend. The MACD of 0.22 indicates Negative momentum. The RSI at 64.24 is Neutral, neither overbought nor oversold. The STOCH value of 78.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BKD.

Brookdale Senior Living Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ENSG	78 Outperform	$8.61B	28.13	17.66%	0.16%	16.80%	39.99%
NHC	76 Outperform	$1.68B	15.71	11.19%	2.25%	19.16%	31.92%
PNTG	69 Neutral	$1.04B	39.43	11.28%	―	30.04%	43.47%
AMED	68 Neutral	$3.09B	34.83	7.85%	―	5.34%	―
BKD	56 Neutral	$1.61B	―	-91.17%	―	3.88%	-34.30%
SNDA	56 Neutral	$493.52M	―	-70.23%	―	26.13%	37.38%
Sector *	52 Neutral	$5.19B	3.04	-44.64%	2.82%	16.45%	-0.53%

Brookdale Senior Living Corporate Events

Brookdale Senior Living Reports Strong Q1 2025 Results

Brookdale Senior Living reported strong financial results for the first quarter of 2025, surpassing expectations and establishing a solid foundation for growth. The company achieved a 7.6% increase in same community operating income compared to the previous year, with a notable improvement in net cash provided by operating activities and adjusted free cash flow. The company also reported a rise in occupancy rates and revenue per available room, indicating favorable market conditions and effective operational strategies. Brookdale’s management expressed confidence in continued growth and shareholder value creation, supported by a strategic focus on meeting the needs of the aging population.

Spark’s Take on BKD Stock

According to Spark, TipRanks’ AI Analyst, BKD is a Neutral.

Brookdale Senior Living’s stock score reflects challenges due to high leverage and net losses, balanced by positive earnings call insights and strategic corporate events. Technical indicators show upward momentum, though valuation concerns persist.

To see Spark’s full report on BKD stock, click here.

Brookdale Senior Living EVP George Hicks to Retire

George T. Hicks, the Executive Vice President – Finance and Treasurer of Brookdale Senior Living Inc., announced his retirement effective May 21, 2025, after a 40-year tenure with the company. In recognition of his service, the company’s Board of Directors waived the six-month notice requirement for his retirement, allowing his long-term incentive awards to continue vesting post-retirement, which reflects the company’s appreciation for his contributions.

Spark’s Take on BKD Stock

According to Spark, TipRanks’ AI Analyst, BKD is a Neutral.

Brookdale Senior Living’s stock score reflects challenges due to high leverage and net losses, balanced by positive earnings call insights and strategic corporate events. Technical indicators show upward momentum, though valuation concerns persist.

To see Spark’s full report on BKD stock, click here.

Brookdale Senior Living Appoints New Independent Director

On April 23, 2025, Brookdale Senior Living‘s board temporarily increased its number of directors to nine, appointing Joshua Hausman as an independent director effective April 24, 2025. Hausman, with over 20 years of experience in healthcare investment, is expected to bring valuable insights to Brookdale’s strategic goals, including enhancing occupancy and revenue growth. The board’s refreshment, including Hausman’s appointment, reflects Brookdale’s commitment to integrating new expertise and perspectives, aiming to accelerate growth and shareholder value.

Spark’s Take on BKD Stock

According to Spark, TipRanks’ AI Analyst, BKD is a Neutral.

Brookdale Senior Living’s overall score reflects ongoing financial challenges with high leverage and net losses. However, technical indicators and corporate events show positive trends and potential for improvement. The earnings call provided optimistic guidance and effective strategic management, contributing to a moderately positive outlook. Valuation remains a concern, warranting cautious optimism.

To see Spark’s full report on BKD stock, click here.

Brookdale Senior Living Announces Leadership Transition

On April 14, 2025, Brookdale Senior Living announced a significant leadership transition, with Lucinda M. Baier stepping down as President and CEO, effective April 13, 2025. Denise W. Warren was appointed as Interim CEO while the Board initiates a search for a new CEO. The company also established an Interim Office of the CEO to ensure business continuity. Additionally, Mark Fioravanti was appointed as a new independent director, while Frank M. Bumstead will not stand for reelection. Brookdale’s preliminary first quarter 2025 results exceeded expectations, indicating strong operational performance and potential for future growth.

Spark’s Take on BKD Stock

According to Spark, TipRanks’ AI Analyst, BKD is a Neutral.

Brookdale Senior Living’s overall score reflects financial challenges marked by high leverage and ongoing net losses. Despite this, the company shows positive momentum in occupancy rates and strategic management, as highlighted in the earnings call. Technical analysis provides mixed signals, and valuation metrics emphasize caution. Improvements in cash management and strategic initiatives are promising but must address profitability concerns for better long-term prospects.

To see Spark’s full report on BKD stock, click here.

Brookdale Senior Living Reports Record Occupancy Rates

In March 2025, Brookdale Senior Living reported a significant increase in its occupancy rates, with a weighted average occupancy of 79.5%, marking a 160 basis point rise year-over-year. The month-end occupancy reached 80.9%, the highest in five years, indicating strong performance and counter-seasonal strength. The first quarter of 2025 saw a 140 basis point year-over-year increase in weighted average occupancy, with move-in volumes exceeding historical averages by 12% and move-out volumes improving by 3%, reflecting positive trends in the company’s operations.

Spark’s Take on BKD Stock

According to Spark, TipRanks’ AI Analyst, BKD is a Neutral.

Brookdale Senior Living shows positive operational trends, with improved cash flow and strategic initiatives such as debt reduction and asset acquisition. However, ongoing challenges with profitability and high leverage weigh heavily on its financial performance. The technical analysis indicates bullish momentum, but the negative valuation metrics suggest caution. Overall, while there are signs of improvement, significant financial risks remain.

To see Spark’s full report on BKD stock, click here.