ML Analysis — SSH - THE VILLAGES
CCN 102028 | Clustering + Distress + RCM Opportunity
🛡️ Public data only — no PHI permitted on this instance.
Investability Score
Hold / Selective — investigate specific opportunities but be prepared for execution risk.
46
/ 100 (C)
Financial Health11/25
RCM Upside14/25
Market Position10/20
Demand Defensibility10/15
Operational Efficiency1/15
Entry Multiple: 8.0x – 10.0x
Est. MOIC: 1.9x
Risk Factors:
- Small facility (<50 beds) — limited scale
Catalysts:
- Limited competition supports pricing power
Margin Prediction (Trained Ridge Model)
0.9%
R²=0.34 | n=4,907 | Grade B | Actual: 3.1%
Ridge regression trained on 4,907 HCRIS hospitals. 90% CI: [-27.4%, 29.2%]. P64 nationally.
| Driver | Value | Effect | Explanation | |
|---|---|---|---|---|
| Revenue/Bed | 543914.925 | -0.1445 | Lower Revenue/Bed decreases predicted margin | |
| Expense/Bed | 527030.350 | +0.1392 | Higher Expense/Bed increases predicted margin | |
| State Peer Margin | 0.032 | +0.0578 | Higher State Peer Margin increases predicted margi | |
| Reimbursement Quality | 0.139 | +0.0181 | Higher Reimbursement Quality increases predicted m | |
| Occupancy | 0.830 | +0.0173 | Higher Occupancy increases predicted margin |
nan%
Distress Risk
$1.8M
RCM Opportunity
C
Opportunity Grade
11.4%
Projected Margin
Distress Analysis
Risk: Unknown
National distress rate: 49.3%
FL distress rate: 30.3%
Model AUC: 0.629
| Factor | Value | Contribution | Direction |
|---|---|---|---|
| Occupancy Rate | 0.829 | -0.282 | ▼ risk |
| Medicare Day Pct | 0.365 | +0.007 | ▲ risk |
| Medicaid Day Pct | nan | +nan | ▼ risk |
| Net To Gross Ratio | 0.218 | -0.067 | ▼ risk |
| Revenue Per Bed | 543914.925 | +0.061 | ▲ risk |
| Beds | 40.000 | -0.015 | ▼ risk |
RCM Improvement Opportunity
Total (risk-adjusted): $1.8M
Current margin: 3.1%
Projected margin: 11.4%
Grade: C
Comps: 78
Gap analysis vs P75 peers with 60% closure assumption. Confidence-weighted by lever implementation difficulty.
| Lever | Current | Benchmark | Gap | Impact | Confidence | Timeline |
|---|---|---|---|---|---|---|
| Net-to-Gross Ratio Improvement | 0.218 | 0.600 | 38.2% | $972K | 65% | 18mo |
| Payer Mix Optimization | 0.635 | 0.690 | 5.5% | $825K | 50% | 24mo |
Predicted RCM Performance (Public Data Only)
B
RCM Grade
Average RCM profile — some improvement opportunities. Standard diligence scope recommended.
| Metric | Predicted | 90% CI | Percentile | Assessment |
|---|---|---|---|---|
| Denial Rate | 25.0% | [2.0%, 25.0%] | P83 | Below average — denial rate suggests RCM improvement opportu |
| Days in AR | 75.0 | [25.0, 75.0] | P83 | Below average — days in ar suggests RCM improvement opportun |
| Clean Claim Rate | 98.0% | [80.0%, 98.0%] | P0 | Strong — predicted clean claim rate is in the top third. |
| Net Collection Rate | 99.5% | [90.0%, 99.5%] | P8 | Strong — predicted net collection rate is in the top third. |