Sabra Health Care REIT (SBRA) Is Up 5.9% After Credit Upgrade and Senior Housing Expansion - What's Changed

Sabra Health Care REIT, Inc. recently announced its third quarter 2025 results, highlighting US$190.04 million in revenue, updates to its earnings guidance, new acquisitions in senior housing, and a credit rating upgrade to ‘Baa3’. An important insight is the company’s rapid managed senior housing portfolio growth, supplemented by exceeding its investment target and receiving affirmation from Moody’s, which may indicate increased stability and positive operational momentum. Let’s assess how Sabra’s upgraded credit rating and robust senior housing expansion shape the company’s investment narrative going forward.

Trump has pledged to "unleash" American oil and gas and these 22 US stocks have developments that are poised to benefit.

Sabra Health Care REIT Investment Narrative Recap

Sabra Health Care REIT relies on growing senior housing demand and disciplined portfolio management to drive cash flow, but continued execution during asset transitions and operator changes remains key. The latest quarter’s mixed results and Moody’s credit rating upgrade may support near-term investor confidence, although execution risk around ongoing transitions and margin pressures are still the most important short-term factors. The headline news does not materially alter the risk that operator transitions and asset ramp-up could impact Sabra’s occupancy and net operating income.

The company’s updated full-year earnings guidance, now set at US$0.655 to US$0.665 per diluted share, stands out as a recent announcement directly tied to its momentum in senior housing investments. This reflects management’s outlook following substantial portfolio additions and offers a marker for how continued portfolio expansion may shape Sabra’s financial outcomes.

However, investors should also be mindful that, if new operators or recent acquisitions stumble during integration, the downside to cash flow could be...

Read the full narrative on Sabra Health Care REIT (it's free!)

Sabra Health Care REIT is projected to reach $952.0 million in revenue and $224.6 million in earnings by 2028. This outlook relies on a 9.1% annual revenue growth rate and a $42.3 million earnings increase from current earnings of $182.3 million.

Uncover how Sabra Health Care REIT's forecasts yield a $20.82 fair value, a 10% upside to its current price.

Exploring Other PerspectivesSBRA Community Fair Values as at Nov 2025

Three members of the Simply Wall St Community place fair value for Sabra Health Care REIT shares between US$11.59 and US$43.42. This diversity of views contrasts with current risks from execution during the senior housing portfolio ramp-up, underscoring why you should consider a range of perspectives.

Story Continues

Explore 3 other fair value estimates on Sabra Health Care REIT - why the stock might be worth over 2x more than the current price!

Build Your Own Sabra Health Care REIT Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

A great starting point for your Sabra Health Care REIT research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision. Our free Sabra Health Care REIT research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Sabra Health Care REIT's overall financial health at a glance.

Curious About Other Options?

Opportunities like this don't last. These are today's most promising picks. Check them out now:

Rare earth metals are the new gold rush. Find out which 35 stocks are leading the charge. Outshine the giants: these 24 early-stage AI stocks could fund your retirement. The end of cancer? These 29 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include SBRA.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

View Comments