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SBRA · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Sabra Health Care REIT, Inc. (SBRA) stock moving?
SBRA has rallied about 8% since the Nov 2 Q3 report, closing at $21.32 on Nov 10 after a $19.72 close on Nov 2. The move came on heavy volume: 5.53M shares on Nov 4 versus roughly 2.0-2.4M on typical late-October days, with the stock reaching a $21.56 intraday high on Nov 9. Fundamentals support the move. Q3 revenue of $249.6M beat the $232.4M estimate, normalized FFO of $0.39 was in line, and FY2026 FFO guidance was narrowed upward with the low end raised to $1.54 (top unchanged at $1.55). SHOP same-property cash NOI rose 14.6% year over year, and the company closed $222.8M of Q3 SHOP acquisitions at a 7.7% yield, with $747.2M closed year to date at an 8.0% yield. An additional $425M of awarded investments at a 7.0% yield is at LOI or later stage. Risks include leverage at 4.54x Net Debt to Adjusted EBITDA, about 15.0M shares under forward sale agreements at a $19.53 weighted average price (a dilution overhang), and the fact that the pipeline has not yet closed. The $0.30 quarterly dividend (record date Nov 13, payable Nov 30) implies roughly a 5.6% annualized yield at the current price. Note that the ex-dividend adjustment around Nov 13 will mechanically reduce the price by about $0.30.
News behind the analysis
- Sabra Health Care REIT Q3 2026 Earnings Call TranscriptSabra discussed its third-quarter 2026 results and outlook on its earnings call, which followed the Nov 2 release.
- Sabra Health Care REIT, Inc. Reports Third Quarter 2026 Results and Updates GuidanceSabra reported Q3 2026 results and updated its full-year 2026 guidance. The release covered SHOP cash NOI growth of 14.6%, $222.8M of Q3 SHOP acquisitions at a 7.7% yield, and a $425M awarded pipeline.
- Sabra Health Care REIT Raises FY2026 FFO Guidance from $1.53-$1.55 to $1.54-$1.55 vs $1.55 EstSabra narrowed its FY2026 FFO guidance upward, lifting the low end to $1.54 and keeping the top at $1.55, in line with the $1.55 estimate.
- Sabra Health Care REIT Q3 FFO $0.39 Inline, Sales $249.565M Beat $232.392M EstimateQ3 normalized FFO of $0.39 matched expectations, while revenue of $249.6M beat the $232.4M estimate. The company also declared a $0.30 quarterly dividend.
About Sabra Healthcare REIT, Inc.
Sabra Health Care REIT is a Tustin, California-based real estate investment trust that owns skilled nursing facilities, senior housing communities and specialty hospitals across the US and Canada. Most REITs in this space lean toward one area, but Sabra is mostly skilled nursing and is quickly building up its managed senior housing (SHOP) portfolio. Its enterprise value is roughly $7.8 billion.
How it makes money
Most of its revenue comes from triple-net leases, where operators of nursing homes, senior housing and hospitals pay rent and also cover property costs. That cash rent was about $94 million in Q3 2026. A growing share comes from its senior housing operating portfolio, where Sabra keeps the property's operating profit instead of fixed rent. That profit was about $48 million in Q3 2026. It also earns some interest from loans and preferred-equity investments. As a REIT, it pays out most of its earnings as dividends, currently about $1.20 per share a year.
What usually moves SBRA
- Medicare and Medicaid reimbursement rates for skilled nursing
- Tenant financial health and rent coverage
- Senior housing occupancy and pricing
- Interest rates and cost of capital
- Acquisition volume and yields