OMEGA HEALTHCARE INVESTORS INC

OHIdata completeness 100%18 fiscal years on file
The thesis, from the filings

OMEGA HEALTHCARE INVESTORS INC earns about 7% on invested capital, below its ~9% cost of capital, but has diluted owners by 25% over 5 years — no moat visible in the numbers. The estimate methods put fair value between $14.55 and $22.01 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$1.06B1$878.2M2$949.7M3$1.05B3$1.19B3
Net income$428.3M4$438.8M5$242.2M6$406.3M6$590.2M6
Operating cash flow$722.1M7$625.7M8$617.7M9$749.4M9$878.6M9
Capital expenditure$44.9M10$47.2M11$38M12$37.8M12$80.9M12
Free cash flow (derived)$677.2M7$578.5M8$579.7M9$711.7M9$797.7M9
Total debt$5.25B13$5.29B14$5.07B15$4.84B16$4.26B16
Cash & equivalents$20.5M17$297.1M18$442.8M19$518.3M19$27M19
Diluted shares244.3M244.3M250.5M270.4M305.0M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$169.91
your share of equity
Profit it earned you last year
$19.35
Free cash flow it threw off
$26.16
Debt you’d be carrying
$139.56

10 shares is a claim on $169.91 of net worth that earned you $19.35 and generated $26.16 of cash last year, against $139.56 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
7% avg · 5y
FY21 7%FY22 8%FY23 6%FY24 7%FY25 9%

It earned about 7% on invested capital against a ~9% cost of capital — below the cost of funding. The numbers show no moat.

seeing a moat in the numbers →
Management signal · capital allocation
+25% shares · 5y

Share count is up 25% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has fallen 19% — deleveraging.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0

The 3 estimate methods that apply put fair value between $14.55 and $22.01 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$21.07
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth1.7%
  • fcfBase$711.7M
DCF · Growth Exit 5Y
$22.01
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth1.7%
  • fcfBase$711.7M
Earnings Power Value
$14.55
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$428.3M
  • growthAssumed0.0%
Graham Number
$27.23
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years1.7%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $22.01
The three cases
Bear0.0%$19.48
Base1.7%$22.01
Bull6.7%$30.58

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 1.7%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0000888491-24-000007 (Revenues)
  2. 10-K · period ending 2022-12-31 · accession 0000888491-25-000006 (Revenues)
  3. 10-K · period ending 2023-12-31 · accession 0000888491-26-000008 (Revenues)
  4. 10-K · period ending 2021-12-31 · accession 0000888491-24-000007 (ProfitLoss)
  5. 10-K · period ending 2022-12-31 · accession 0000888491-25-000006 (ProfitLoss)
  6. 10-K · period ending 2023-12-31 · accession 0000888491-26-000008 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0000888491-24-000007 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0000888491-25-000006 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0000888491-26-000008 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0000888491-24-000007 (PaymentsForCapitalImprovements)
  11. 10-K · period ending 2022-12-31 · accession 0000888491-25-000006 (PaymentsForCapitalImprovements)
  12. 10-K · period ending 2023-12-31 · accession 0000888491-26-000008 (PaymentsForCapitalImprovements)
  13. 10-K · period ending 2021-12-31 · accession 0000888491-23-000006 (LongTermDebt)
  14. 10-K · period ending 2022-12-31 · accession 0000888491-24-000007 (LongTermDebt)
  15. 10-K · period ending 2023-12-31 · accession 0000888491-25-000006 (LongTermDebt)
  16. 10-K · period ending 2024-12-31 · accession 0000888491-26-000008 (LongTermDebt)
  17. 10-K · period ending 2021-12-31 · accession 0000888491-24-000007 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0000888491-25-000006 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0000888491-26-000008 (CashAndCashEquivalentsAtCarryingValue)