Sonida Senior Living (NYSE:SNDA) Trading Down 5.9% After Earnings Miss

Sonida Senior Living, Inc. (NYSE:SNDA) fell 5.9% during trading on Tuesday following a dissappointing earnings announcement. The company traded as low as $39.56 and last traded at $39.5060. 293,457 shares traded hands during mid-day trading, a decline of 41% from the average session volume of 498,758 shares. The stock had previously closed at $41.99.

The company reported ($0.52) earnings per share for the quarter, missing the consensus estimate of ($0.09) by ($0.43). The firm had revenue of $207.65 million for the quarter. Sonida Senior Living had a negative return on equity of 36.98% and a negative net margin of 24.15%.During the same quarter last year, the firm posted ($0.16) EPS.

Key Headlines Impacting Sonida Senior Living

Here are the key news stories impacting Sonida Senior Living this week:

• Positive Sentiment: Cantor Fitzgerald raised its price target on Sonida from $42 to $47 and maintained an “overweight” rating, implying approximately 13.3% upside from the referenced share price. Benzinga report
• Positive Sentiment: Sonida outlined $88 million of acquisitions expected to generate mid-teens internal rates of return. Management also reported occupancy trends in the low-to-mid-90% range for the acquired properties, supporting the company’s external growth strategy. Acquisition report
• Positive Sentiment: Same-store occupancy increased 240 basis points year over year to 87.8% in the second quarter, indicating continued improvement in the operating platform and underlying demand for senior housing. Sonida second-quarter results
• Neutral Sentiment: Revenue reached $207.65 million in the second quarter, exceeding expectations, while management emphasized continued execution of its growth strategy. Zacks earnings report
• Negative Sentiment: Sonida reported a second-quarter loss of $0.52 per share, substantially worse than the $0.09 loss analysts expected and wider than the $0.16 loss a year earlier. The negative margin and return on equity may be weighing on the stock despite the revenue beat and operational improvements. MarketBeat earnings report

Analyst Ratings Changes

Several equities analysts have weighed in on the company. Royal Bank Of Canada lifted their target price on Sonida Senior Living from $45.00 to $48.00 and gave the company an “outperform” rating in a research note on Monday, June 29th. Robert W. Baird raised their price target on shares of Sonida Senior Living from $35.00 to $37.00 and gave the stock a “neutral” rating in a report on Friday, April 24th. Morgan Stanley boosted their price objective on shares of Sonida Senior Living from $31.00 to $38.00 and gave the company an “equal weight” rating in a research report on Friday, May 29th. Weiss Ratings upgraded shares of Sonida Senior Living from a “sell (d-)” rating to a “sell (d)” rating in a research report on Wednesday, July 29th. Finally, Compass Point assumed coverage on shares of Sonida Senior Living in a research note on Tuesday. They set a “buy” rating and a $65.00 target price for the company. Five analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Sonida Senior Living currently has an average rating of “Moderate Buy” and an average target price of $47.50.

Insider Buying and Selling at Sonida Senior Living

In related news, Director Benjamin P. Harris sold 2,500 shares of the company’s stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $37.46, for a total value of $93,650.00. Following the completion of the sale, the director directly owned 9,182 shares in the company, valued at approximately $343,957.72. This represents a 21.40% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Corporate insiders own 39.30% of the company’s stock.

Institutional Trading of Sonida Senior Living

A number of institutional investors and hedge funds have recently made changes to their positions in SNDA. Capital Advisors Ltd. LLC bought a new stake in shares of Sonida Senior Living in the first quarter valued at about $45,000. Main Street Group LTD acquired a new position in Sonida Senior Living in the 1st quarter valued at approximately $50,000. First Pacific Financial acquired a new position in Sonida Senior Living in the 1st quarter valued at approximately $56,000. Darwin Wealth Management LLC bought a new stake in shares of Sonida Senior Living in the 1st quarter worth approximately $63,000. Finally, Sunbelt Securities Inc. acquired a new stake in shares of Sonida Senior Living during the 1st quarter worth approximately $64,000. Institutional investors and hedge funds own 87.55% of the company’s stock.

Sonida Senior Living Trading Down 5.9%

The stock has a market capitalization of $1.87 billion, a P/E ratio of -6.78 and a beta of 0.80. The company has a current ratio of 0.44, a quick ratio of 0.44 and a debt-to-equity ratio of 1.58. The firm has a fifty day moving average of $38.76.

About Sonida Senior Living

Sonida Senior Living (NYSE: SNDA) is a publicly traded company that owns and operates senior living communities in the United States. The company’s core business centers on providing housing and care services for older adults, with an emphasis on assisted living, memory care and related supportive services tailored to residents’ needs.

Sonida’s communities combine residential accommodations with on-site services such as personal care assistance, medication management, dining programs, social and recreational activities, and clinical oversight.