Brookdale Senior Living, Inc. (BKD)

Gtrinvestor (99.96) Submitted: 5/30/07 3:15 PM : Start Price: $43.84 BKD Score: -36.09

I know that they don't have any net income on a US GAAP basis, but they are generating cash from operations. If you look at this from a property investment play, the "depreciation" that is recorded in net income really doesn't mean a lot, b/c it will (hopefully) be recovered from the gain on the sale of the properties. However, I don't think you ever see this potential in the financial statements, so you really have to know a lot about the company's properties to get this perspective... like some insiders might know (ala Toys R' Us and K Mart). With the large insider purchases, this makes me wonder.


All of this by the way is just a guess, and purely something I would only do in CAPS. I'm sure someone who actually takes the time to read their SEC filings may find some flawed logic in all of this, but in the meantime, I'll let the bingo chips fall where they may.

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