| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 32 | — | 17.8x | Bottom tier | |
Growth | 80 | 49.4% | 7.1% | Top tier | |
Quality | 11 | -7.0% | 4.5% | Bottom tier | |
Safety | 33 | — | 2.6x | Bottom tier | |
Capital Return | 8 | — | 2.12% | Bottom tier | |
Momentum | 82 | 54.3% | 2.9% | Top tier | |
Sentiment | 21 | 2 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Sonida Senior Living owns and operates senior living communities, and its model relies on increasing occupancy and rates and improving labor and service efficiency within the communities. It divides its portfolio into same-store communities, non-same-store communities that include acquired assets or assets undergoing stabilization and reinvestment, and a triple-net lease portfolio comprising 15 communities with initial lease terms extending from May 2030 to July 2032. The company uses the SPIN platform to integrate care, workforce, occupancy, and pricing data from more than 100 communities to improve operating and pricing decisions.
In fiscal 2026 Q2, revenue according to EDGAR filings was approximately $207.6 million, while the company recorded a net loss of $24.5 million and a loss per share of $0.52. At the operating portfolio level, weighted average occupancy was 86.6%, and SHOP portfolio net operating income increased by 17.5%, with a margin of 29.9%. Same-store communities recorded occupancy of 87.8%, net operating income growth of 16.9%, and margin expansion of 250 basis points to 32.6%.
Fiscal 2026 Q2 results reflected a mix of operating improvement and continued accounting losses; normalized FFO per share was $0.48 and adjusted EBITDA was approximately $50 million, but net income remained negative. RevPOR for same-store communities increased by 4.9%, while labor costs declined by 130 basis points to 40.4% of revenue, helping generate an incremental margin flow-through of 63.4% of revenue growth.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $48.2, above the 52-week range high of $44.39, while the wide target range extends from $37 to $65 and reflects meaningful differences in estimates of the value of the acquisition trajectory and occupancy improvement. The consensus rating is Buy, but the absence of a positive price-to-earnings multiple due to the trailing twelve-month net loss of $122.4 million makes the valuation more dependent on normalized FFO, net operating income growth, and successful deleveraging.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
Sonida's revenue was approximately $207.6 million in fiscal 2026 Q2, and it recorded a net loss of $24.5 million and a loss per share of $0.52. In contrast, normalized FFO per share was $0.48 and adjusted EBITDA was approximately $50 million. Net operating income for same-store communities grew by 16.9%, with margin expansion of 250 basis points to 32.6%.
Average occupancy at same-store communities increased by 240 basis points year over year to 87.8% in fiscal 2026 Q2. The company attributed the improvement to an increase in prospects generated by digital marketing and a higher conversion rate into community tours, along with the use of SPIN in pricing and operations management. The proportion of communities with occupancy above 90% also increased from 43% to 54%, and momentum continued as total portfolio occupancy increased by 40 basis points in July 2026 compared with June 2026.
Sonida completed the acquisition of CNL Health Properties, or CHP, on March 11, 2026, and fiscal 2026 Q2 results included CHP's contribution for the full period. By July 1, 2026, 14 communities, representing more than one-quarter of CHP's SHOP portfolio, had transitioned to Sonida management. The six communities that transitioned in early May achieved year-over-year net operating income improvement exceeding 60% and margin expansion of 850 basis points, but the as-adjusted historical data was not prepared in accordance with Article 11 of Regulation S-X and may not represent the results that could actually have been achieved.
The Sonida Performance Insight Navigator platform, known as SPIN, combines care, workforce, occupancy, and pricing data from more than 100 communities into a unified real-time view. In fiscal 2026 Q2, labor costs for same-store communities declined by 130 basis points to 40.4% of revenue, including a 100-basis-point improvement in direct labor. Management also uses this data to monitor how long units remain vacant, adjust pricing, and align care-level revenue with the staffing model based on residents' needs.
Total adjusted debt after the Ally financing was approximately $1.6 billion, with a weighted average interest rate of 5.43%, and 86% of it was fixed-rate or hedged against interest-rate changes. Following the $380 million Ally loan on August 7, 2026, 97% of the debt matures in 2029 or later, and approximately $166 million was immediately available under the revolving credit facility. However, the company is still working toward its target leverage range of 6 to 6.5 times, and it also issued 672 thousand shares in July 2026 to fund the equity portion of an upcoming acquisition.
Management said on the August 10, 2026 call that it aims to begin issuing normalized FFO guidance for fiscal 2027 after continuing to integrate the CHP portfolio and other acquisitions. It also believes that stabilized occupancy in the low-to-mid-90% range is achievable over time, with the pace depending on company and market performance. At the same time, the 2025 acquisition cohort offers room for improvement, as its occupancy was 70.4% in June 2026 and its margin increased from negative 1% in fiscal 2025 Q4 to 15% in fiscal 2026 Q2.
