Local public health care companies Acadia Healthcare and Diversicare have new 5 percent owners, per recent Securities and Exchange Commission filings. First up, the investment arm of financial giant JPMorgan Chase says it has grown its stake in Acadia Healthcare by more than half over the past year. The company — which in early 2014 said it had sold off some of its holdings — now owns 5.7 percent of Franklin-based Acadia.
Also filing papers recently with regulators was San Francisco-based Osmium Partners, which focuses on small-cap value stocks. Its managers said last week they now own 5.1 percent of skilled nursing services provider Diversicare. Founded in 2002, Osmium manages about $130 million. Last month, a West Virginia company said it also has amassed a 5 percent Diversicare stake.
Bank of America Merrill Lynch analyst Denise Chai has relaunched her coverage of Dollar General with an 'underperform' rating and a price target of $60, which is more than 10 percent below where the shares (Ticker: DG) are trading today. Chai has some relatively harsh and skeptical words about Dollar General, saying it has not performed very well of late and could miss with its Q4 numbers.
Over at JMP Securities, Peter Martin has lowered his price target for shares of Brookdale Senior Living to $44 from $46 after executives at the Brentwood-based company trimmed their 2015 guidance following some operational and insurance hiccups in the fourth quarter. "The magnitude vs. our model (EBITDAR basis) was not great given our expectation of a tough first year transition, but the front-loading of maintenance capex to help transition performance issues did hurt our CFFO forecast," Martin wrote. Brookdale (Ticker: BKD) is changing hands this morning around $34.
Real estate investment trust National Health Investors has sold $225 million in unsecured debt to a division of financial giant Prudential and used that cash to pay down some of the loans from its bank group led by Wells Fargo. Murfreesboro-based NHI says its Prudential debt consists of $125 million that will mature in eight years and pay annual interest of 3.99 percent as well as $100 million due in 2027 and carrying an interest rate of 4.51 percent. NHI shares (Ticker: NHI) are down slightly in early Thursday trading to $74.05. Over the past three months, they've risen more than 20 percent.
Analysts at Standard & Poor's say HCA's recent strong run deserves a two-notch boost to their corporate credit rating. Writes Shannan Murphy: "The company's business risk profile has improved, reflecting our belief that HCA's scale and diversified business mix provide a competitive advantage in negotiating contracts and managing reimbursement uncertainty over time. While we believe HCA and its peers will experience increased margin pressure due to slower reimbursement growth, we expect HCA to be better able to offset these pressures given its scale and business diversity." Shares of Nashville-based HCA (Ticker: HCA) are up about 5 percent over the past three months.
Mark Montagna at Avondale Partners has trimmed his EPS forecast for Genesco's upcoming fiscal year to $5.50 per share from $5.61. The retailer, he said, is struggling to gain traction in its push to further expand its Lids brand in Macy's stores and with recent acquisitions in Canada and Ohio. The company also had to be more promotional than expected in some other areas, Montagna noted. His price target for Genesco, on which he has a 'market outperform' rating, is $78. Genesco (Ticker: GCO) closed Wednesday trading at $75.42.
Over at JMP Securities, analyst Peter Martin has trimmed his rating on shares of National Health Investors to 'market perform' from 'outperform' and lifted his $71 price target. The move is based on valuation: NHI (Ticker: NHI) has climbed more than 20 percent over the past three months.
Brookdale Senior Living director Mark Schulte took care of some stock option business the day after Christmas, selling 10,000 of his shares for total proceeds of more than $360,000. Schulte still owns $7.7 million worth of Brookdale shares, which have climbed 35 percent (Ticker: BKD) in 2014.
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