📊 OHI Key Takeaways
Is Omega Healthcare Investors Inc. (OHI) a Good Investment?
OHI demonstrates strong fundamental cash generation with $209M free cash flow and 12.5x interest coverage, indicating reliable debt service capacity and dividend sustainability. However, net income declined 6.1% YoY despite 13.2% revenue growth, signaling potential margin compression that warrants close monitoring of operational efficiency and cost trends.
Double-digit revenue growth, very high operating profitability, and exceptional free cash flow generation underpin a solid balance sheet with moderate leverage and respectable ROE. The core cash engine appears healthy, but thin interest coverage and low on-balance-sheet liquidity raise sensitivity to tenant health and funding costs.
Omega Healthcare Investors Inc. Key Strengths (OHI)
- Exceptional free cash flow generation ($209.1M) with 64.7% FCF margin providing strong cash distribution capability
- Solid revenue growth of 13.2% YoY with healthy net profit margins of 46.8%
- Strong interest coverage ratio of 12.5x and reasonable leverage at 0.82x debt-to-equity, demonstrating adequate debt service capacity
- Exceptional free cash flow and 73.3% FCF margin
- High operating profitability (52.5% operating margin) with positive EPS growth
- Moderate leverage (0.82x D/E) and solid ROE (11.4%)
OHI Stock Risks: Omega Healthcare Investors Inc. Investment Risks
- Net income contracted 6.1% YoY despite revenue growth, indicating concerning margin compression and potential cost inflation pressures
- Minimal cash position of $26.1M against $4.8B liabilities creates liquidity vulnerability if operational cash flows deteriorate
- Declining profitability despite topline expansion suggests operational headwinds that could impact dividend sustainability if cash flow generation weakens
- Thin interest coverage (2.9x) and refinancing/interest-rate sensitivity
- Tenant/operator concentration and reimbursement/regulatory risk in skilled nursing
- Low cash balance ($27M) increases reliance on external liquidity
Key Metrics to Watch
- Operating cash flow trends and dividend payout ratio to confirm distribution sustainability
- Net profit margin trajectory and operating expense growth to identify source of profitability decline
- Debt-to-EBITDA ratio and refinancing needs given high leverage and minimal cash buffer
- Interest coverage ratio
- Tenant rent collection and coverage ratios
Omega Healthcare Investors Inc. (OHI) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 64.7% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
OHI Profit Margin, ROE & Profitability Analysis
OHI vs Real Estate Sector: How Omega Healthcare Investors Inc. Compares
How Omega Healthcare Investors Inc. compares to Real Estate sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Omega Healthcare Investors Inc. Stock Overvalued? OHI Valuation Analysis 2026
Based on fundamental analysis, Omega Healthcare Investors Inc. has mixed fundamental signals relative to the Real Estate sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Omega Healthcare Investors Inc. Balance Sheet: OHI Debt, Cash & Liquidity
OHI Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Omega Healthcare Investors Inc.'s revenue has grown significantly by 12% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.00 reflects profitable operations.
OHI Revenue Growth, EPS Growth & YoY Performance
OHI Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $6.7M | $109.0M | $0.33 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Omega Healthcare Investors Inc. Dividends, Buybacks & Capital Allocation
OHI SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Omega Healthcare Investors Inc. (CIK: 0000888491)
📋 Recent SEC Filings
❓ Frequently Asked Questions about OHI
What is the AI rating for OHI?
Omega Healthcare Investors Inc. (OHI) has a Combined AI Grade of A from Claude (A) and ChatGPT (A) with 71% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are OHI's key strengths?
Claude: Exceptional free cash flow generation ($209.1M) with 64.7% FCF margin providing strong cash distribution capability. Solid revenue growth of 13.2% YoY with healthy net profit margins of 46.8%. ChatGPT: Exceptional free cash flow and 73.3% FCF margin. High operating profitability (52.5% operating margin) with positive EPS growth.
What are the risks of investing in OHI?
Claude: Net income contracted 6.1% YoY despite revenue growth, indicating concerning margin compression and potential cost inflation pressures. Minimal cash position of $26.1M against $4.8B liabilities creates liquidity vulnerability if operational cash flows deteriorate. ChatGPT: Thin interest coverage (2.9x) and refinancing/interest-rate sensitivity. Tenant/operator concentration and reimbursement/regulatory risk in skilled nursing.
What is OHI's revenue and growth?
Omega Healthcare Investors Inc. reported revenue of $323.0M.
Does OHI pay dividends?
Omega Healthcare Investors Inc. pays dividends, with $198.4M distributed to shareholders in the trailing twelve months.
Where can I find OHI SEC filings?
Official SEC filings for Omega Healthcare Investors Inc. (CIK: 0000888491) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is OHI's EPS?
Omega Healthcare Investors Inc. has a diluted EPS of $0.47.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is OHI's fundamental grade?
Based on our AI fundamental analysis in May 2026, Omega Healthcare Investors Inc. has a A grade with 71% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is OHI stock overvalued or undervalued?
Valuation metrics for OHI: ROE of 2.9% (sector avg: 8%), net margin of 46.8% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.
What is OHI's AI grade for 2026?
Our dual AI analysis gives Omega Healthcare Investors Inc. a combined A grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is OHI's free cash flow?
Omega Healthcare Investors Inc.'s operating cash flow is $215.5M, with capital expenditures of $6.4M. FCF margin is 64.7%.
How does OHI compare to other Real Estate stocks?
Vs Real Estate sector averages: Net margin 46.8% (avg: 20%), ROE 2.9% (avg: 8%), current ratio N/A (avg: 1.5).