Group 1: Fund Performance - Night Watch Investment Management's fund LP appreciated by 4.28% net of fees in Q3 2025, with a year-to-date performance of 25.88% [1] - The portfolio continued its strong performance during the quarter, coinciding with a robust market recovery [1] Group 2: Brookdale Senior Living Inc. Overview - Brookdale Senior Living Inc. (NYSE:BKD) operates senior living communities and had a one-month return of 12.83%, with shares gaining 91.71% over the last 52 weeks [2] - As of December 04, 2025, Brookdale's stock closed at $10.64 per share, with a market capitalization of $2.529 billion [2] Group 3: Investment Thesis for Brookdale Senior Living Inc. - Night Watch Investment Management reinitiated a position in Brookdale Senior Living Inc. due to strong demand anticipated from the aging baby boomer population [3] - The senior living facilities industry faced challenges in the past decade, including overbuilding in 2017, the impact of Covid, and a nursing shortage, which affected margins [3] - Currently, the construction of new facilities has halted, resulting in a multi-decade low order book, while demand is expected to increase [3] Group 4: Hedge Fund Interest - Brookdale Senior Living Inc. is not among the 30 most popular stocks among hedge funds, with 35 hedge fund portfolios holding the stock at the end of Q3, unchanged from the previous quarter [4] - While acknowledging Brookdale's potential, the company believes certain AI stocks present greater upside potential and less downside risk [4]

Group 1 - The Pennant Group, Inc. will participate in the 2025 Stephens Annual Investment Conference on November 19, 2025 [1] - Key executives including the CFO, COO, and President of the Senior Living segment will engage in a fireside chat during the conference [2] - A live webcast of the event will be available for interested parties [2] Group 2 - The Pennant Group operates 141 home health and hospice agencies and 61 senior living communities across multiple states in the U.S. [3] - Each operating subsidiary within the Pennant Group functions independently with its own management and assets [3] - The company emphasizes that it does not directly operate the individual businesses under its umbrella [3]

Core Insights - Ventas, Inc. has selected Discovery Senior Living to manage 15 senior living communities across multiple U.S. states, indicating a long-term partnership focused on operational excellence and value creation [1][4] - The communities will be integrated into three of Discovery's Management Companies, which will utilize specialized practices and market insights to enhance performance [2][9] - The partnership has shown consistent development since 2021, with the potential for increased occupancy in the newly managed communities [3] Transition Details - Discovery will begin operations for specific communities in September, with a complete transition expected by the end of 2025 [4][9] - The transition aims to align both companies in terms of operational excellence and resident satisfaction [4] Company Performance - Ventas has a diverse portfolio of healthcare real estate assets in key U.S. and U.K. markets, positioning it to benefit from favorable industry fundamentals [5] - The company has experienced a 5.3% increase in shares over the past three months, contrasting with a 0.7% decline in the industry [6]

Core Insights - Ensign Group reported adjusted earnings per share (Non-GAAP) of $1.59, exceeding estimates of $1.55, and GAAP revenue of $1.23 billion, slightly above the $1.22 billion expectation, marking an 18.5% increase year-over-year [1][2] - The company raised its full-year earnings and revenue guidance, indicating strong growth driven by organic improvements and acquisitions [1][10] Financial Performance - Adjusted earnings per share (Non-GAAP) increased by 20.5% year-over-year from $1.32 to $1.59 [2] - Revenue rose by 18.3% from $1.04 billion in Q2 2024 to $1.23 billion in Q2 2025 [2] - Net income grew by 18.9% from $71.0 million in Q2 2024 to $84.4 million in Q2 2025 [2] - Adjusted EBITDA increased by 25.1% from $117.2 million to $146.6 million [2] - Funds from Operations (Standard Bearer) rose by 26.6% from $14.5 million to $18.4 million [2] Business Overview - Ensign Group operates over 300 healthcare facilities, including skilled nursing and senior living communities, focusing on post-acute care services across the U.S. [3] - The company employs a decentralized management approach, empowering local leaders while pursuing growth through selective acquisitions [4] Operational Highlights - Same-facility skilled services revenue increased by 6.5%, and revenue from transitioning facilities rose by 11.6% [5] - Total operational bed occupancy improved to 81.3%, up 1.2 percentage points year-over-year, while recently acquired facilities reached 74.3% occupancy [6] - Managed care revenue grew by 11.8% at same facilities and 27.8% at transitioning operations [6] Strategic Focus - The company relies heavily on government reimbursements, with Medicaid and Medicare accounting for 69.8% of service revenue [7] - Ensign Group is actively engaging with policymakers regarding reimbursement rates and regulatory issues [7] - The company raised its quarterly dividend to $0.0625 per share, marking the 22nd consecutive year of dividend increases [7][12] Future Guidance - Management raised guidance for adjusted (non-GAAP) earnings per share to a range of $6.34–$6.46 and revenue to $4.99–$5.02 billion, assuming continued integration of recent acquisitions [10] - The company anticipates a high pace of acquisition activity, with both lease and ownership opportunities in the pipeline [10]