Dane Bowler
Value, hedge fund analyst, REITs, long/short equity

Finding Value In The Promising Healthcare Sector With Brookdale Senior Living

The healthcare sector touts impressive demographic data suggesting a continued rise in the 80+ population. This extra demand is bolstered by the government's continued support of Medicare and Medicaid which survived sequestration unscathed. The healthcare REIT sector is fundamentally desirable and investors know it as evidenced by the average FFO trading multiple of 18.1. This article will detail Brookdale Senior Living (NYSE:BKD) as a value-friendly alternative to gain exposure to a powerful industry. We will begin with an overview of the sector's valuation over the past year to demonstrate the importance of value when investing in healthcare stocks.

Historical healthcare valuation

Among healthcare REITs, there is a powerful correlation between cheap valuation and subsequent performance. I would posit...

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