Sonida Senior Living (SNDA) AI Stock Analysis

• Market Cap: $490.34M
• Dividend Yield: N/A
• Average Volume (3M): 19.22K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.80
• Revenue Growth: 31.37%
• EPS Growth: 34.94%
• Country: US
• Employees: 3,415
• Sector: Healthcare
• Sector Strength: 51
• Industry: Medical - Care Facilities
• EPS (TTM): -0.16
• Shares Outstanding: 18,823,109
• 10 Day Avg. Volume: 18,106
• 30 Day Avg. Volume: 19,216
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.35
• Enterprise Value/Revenue: 3.27
• Enterprise Value/Gross Profit: 3.42
• Enterprise Value/Ebitda: 25.96
• 1Y Price Target: $26.00
• Price Target Upside: -2.03% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 51 Neutral
• Price Target: $26.00 ▼(-2.03% Downside)

Sonida Senior Living's overall stock score reflects a mix of positive operational performance and significant financial challenges. The company's strong earnings call performance and strategic acquisitions are offset by high leverage and ongoing profitability issues. Investors should weigh the potential for operational improvements against the financial risks.

Positive Factors

Revenue Growth

The strong revenue growth indicates effective market positioning and demand for services, supporting long-term financial health and expansion potential.

Occupancy Rates

High occupancy rates reflect strong demand and effective management, contributing to stable revenue streams and enhanced profitability.

Strategic Acquisitions

Strategic acquisitions expand market presence and enhance service offerings, positioning the company for sustained growth and competitive advantage.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth and weather economic downturns.

Profitability Challenges

Ongoing profitability challenges may hinder the company's ability to reinvest in operations and sustain long-term growth, necessitating operational improvements.

Increased Labor Costs

Rising labor costs can pressure margins and reduce profitability, requiring effective cost management to maintain financial health.

Sonida Senior Living Business Overview & Revenue Model

Company Description

Sonida Senior Living, Inc. develops, owns, operates, and manages senior housing communities in the United States. The company provides independent living services, which include daily meals, transportation, social and recreational activities, laundry, housekeeping, and 24-hour staffing; and access to health screenings, periodic special services, and dietary and similar programs, as well as exercise and fitness classes. It also offers assisted living services consist of personal care services, such as assistance with activities of daily living, including ambulation, bathing, dressing, eating, grooming, personal hygiene, and monitoring or assistance with medications; support services, such as meals, assistance with social and recreational activities, laundry, general housekeeping, maintenance, and transportation services; and supplemental services, which include extra transportation, personal maintenance, and extra laundry services, as well as special care services for residents with various forms of dementia. In addition, the company provides memory care services; and home care services through third-party providers. As of December 31, 2021, it operated 75 senior housing communities in 18 states with an aggregate capacity of approximately 9,500 residents, including 60 senior housing communities. The company was formerly known as Capital Senior Living Corporation and changed its name to Sonida Senior Living, Inc. in November 2021. Sonida Senior Living, Inc. was founded in 1990 and is based in Addison, Texas.

How the Company Makes Money

Sonida Senior Living generates revenue primarily through the leasing of living units in its senior living communities, which includes monthly rental fees paid by residents or their families. Additional revenue streams come from various care services offered, such as assistance with daily living activities, medication management, and specialized memory care programs, which may incur extra charges. The company also benefits from partnerships with healthcare providers and local organizations that can enhance service offerings and attract residents. Furthermore, occupancy rates in their facilities and effective cost management play significant roles in optimizing profitability.

Sonida Senior Living Financial Statement Overview

Summary

Sonida Senior Living is experiencing revenue growth, but profitability and cash flow challenges persist. High leverage and negative equity raise concerns about financial stability. The company must focus on improving operational efficiency and cash flow to enhance financial health and reduce risk.

Income Statement

Sonida Senior Living has shown a positive revenue growth rate of 7.09% TTM, indicating a recovery trend. However, the company is struggling with profitability, as evidenced by a negative net profit margin of -9.47% and a negative EBIT margin of -1.99% TTM. The gross profit margin is strong at 95.57%, but the high operating expenses are impacting overall profitability.

Balance Sheet

The company has a high debt-to-equity ratio of 6.28 TTM, indicating significant leverage and potential financial risk. The return on equity is negative at -28.40%, reflecting ongoing losses. The equity ratio is low, suggesting limited equity financing and potential solvency concerns.

Cash Flow

Operating cash flow is positive at $12.6 million TTM, but free cash flow remains negative, indicating cash outflows after capital expenditures. The free cash flow to net income ratio is -1.43, highlighting challenges in generating cash relative to net losses. The company needs to improve cash flow management to support operations and reduce financial strain.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	352.13M	304.33M	255.32M	238.43M	234.72M	383.86M
Gross Profit	336.53M	271.23M	234.22M	39.83M	38.45M	104.29M
EBITDA	44.38M	78.00M	55.15M	9.14M	4.22M	46.55M
Net Income	-33.35M	-2.06M	-21.11M	-54.40M	125.61M	-295.37M
Balance Sheet
Total Assets	849.77M	841.92M	621.46M	661.27M	728.55M	702.83M
Cash, Cash Equivalents and Short-Term Investments	14.05M	16.99M	4.08M	16.91M	78.69M	17.89M
Total Debt	677.89M	651.39M	629.42M	671.03M	683.68M	909.85M
Total Liabilities	736.01M	712.31M	688.01M	719.43M	734.11M	982.10M
Stockholders Equity	107.94M	123.03M	-66.55M	-58.16M	-46.81M	-279.26M
Cash Flow
Free Cash Flow	-18.00M	-26.95M	-7.25M	-27.14M	-38.71M	-22.43M
Operating Cash Flow	12.60M	-1.78M	10.68M	-2.58M	-28.27M	-6.79M
Investing Cash Flow	-203.68M	-208.92M	-16.56M	-36.90M	-10.44M	8.51M
Financing Cash Flow	201.00M	232.04M	-7.11M	-22.65M	99.42M	-15.92M

Sonida Senior Living Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 26.54
• 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 SNDA, the sentiment is Positive. The current price of 26.54 is above the 20-day moving average (MA) of 25.87, above the 50-day MA of 25.31, and above the 200-day MA of 24.22, indicating a bullish trend. The MACD of 0.27 indicates Negative momentum. The RSI at 61.39 is Neutral, neither overbought nor oversold. The STOCH value of 61.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SNDA.

Sonida Senior Living Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PNTG	69 Neutral	$888.59M	32.71	11.44%	―	30.58%	24.86%
INNV	58 Neutral	$626.65M	―	-12.02%	―	11.76%	-42.52%
CYH	53 Neutral	$420.36M	―	39.18%	―	0.80%	-95.01%
Sector *	51 Neutral	$8.02B	-0.31	-43.38%	2.24%	22.31%	-2.14%
SNDA	51 Neutral	$490.34M	―	-53.33%	―	31.37%	34.94%
EHAB	49 Neutral	$411.10M	―	-21.72%	―	-0.39%	-1408.40%
BKD	46 Neutral	$1.77B	―	-108.91%	―	3.99%	-14.74%

Sonida Senior Living Corporate Events

Sonida Senior Living Secures $137M Loan Agreement

On August 7, 2025, Sonida Senior Living, Inc. entered into a $137.0 million senior secured term loan agreement with Ally Bank, amending its previous loan agreement from March 2022. This new loan will support 19 communities, including a newly acquired one in Alpharetta, and offers potential additional funding subject to certain financial conditions. The loan, with a 36-month maturity and a variable interest rate, reflects Sonida’s strategic financial management to enhance its operational capabilities and expand its market presence.

Sonida Senior Living Reports Strong Q2 2025 Results

Sonida Senior Living reported strong financial results for the second quarter of 2025, with a significant increase in resident revenue by 29.7% compared to the same period in 2024. The company also made strategic acquisitions in Atlanta and Tampa, enhancing its market presence and positioning for future growth. Despite a net loss of $1.6 million, this was a marked improvement from the $9.8 million loss in the previous year, highlighting effective cost management and operational improvements. The company’s acquisition strategy and favorable industry conditions are expected to drive continued success in the latter half of the year.

Sonida Senior Living Approves Key Proposals at Meeting

At the Annual Meeting of Stockholders held on June 10, 2025, Sonida Senior Living, Inc. announced the approval of three key proposals. Stockholders elected Lilly H. Donohue, Benjamin P. Harris, and David W. Johnson as directors for three-year terms, ratified the appointment of BDO USA, P.C. as independent auditors for the fiscal year ending December 31, 2025, and approved the executive compensation on an advisory basis. These decisions are expected to influence the company’s governance and financial oversight positively.

Sonida Senior Living Completes Two Key Acquisitions

On June 9, 2025, Sonida Senior Living announced the completion of two acquisitions of senior living communities in Atlanta, Georgia, and Tampa, Florida, each for $11 million. These acquisitions are part of Sonida’s strategy to expand and upgrade its portfolio by acquiring high-quality communities at discounts to replacement costs. The Atlanta acquisition, finalized on June 1, 2025, adds an upscale 88-unit community to Sonida’s portfolio, enhancing its presence in the high-growth Alpharetta area. The Tampa acquisition, completed on May 30, 2025, involves a 64-unit memory care facility in Tarpon Springs, complementing Sonida’s central Florida assets. Both acquisitions are expected to yield a double-digit cap rate upon stabilization, supporting Sonida’s growth strategy and market positioning.