ML Analysis — DOCTORS HOSPITAL OF SLIDELL LLC
CCN 190256 | Clustering + Distress + RCM Opportunity
🛡️ Public data only — no PHI permitted on this instance.
Investability Score
Speculative — only pursue if turnaround thesis is strong and entry multiple reflects risk.
40
/ 100 (D)
Financial Health15/25
RCM Upside5/25
Market Position4/20
Demand Defensibility6/15
Operational Efficiency9/15
Entry Multiple: 6.0x – 8.5x
Est. MOIC: 1.5x
Risk Factors:
- Small facility (<50 beds) — limited scale
- Low occupancy (<30%) — demand risk
Catalysts:
Margin Prediction (Trained Ridge Model)
-3.5%
R²=0.34 | n=4,907 | Grade B | Actual: 21.0%
Ridge regression trained on 4,907 HCRIS hospitals. 90% CI: [-31.8%, 24.8%]. P53 nationally.
| Driver | Value | Effect | Explanation | |
|---|---|---|---|---|
| Revenue/Bed | 2074809.400 | +0.0692 | Higher Revenue/Bed increases predicted margin | |
| Log(Beds) | 2.303 | -0.0481 | Lower Log(Beds) decreases predicted margin | |
| Reimbursement Quality | 0.112 | +0.0257 | Higher Reimbursement Quality increases predicted m | |
| Net-to-Gross | 0.168 | -0.0225 | Lower Net-to-Gross decreases predicted margin | |
| Bed Count | 10.000 | +0.0216 | Higher Bed Count increases predicted margin |
nan%
Distress Risk
$5.7M
RCM Opportunity
A
Opportunity Grade
48.7%
Projected Margin
Distress Analysis
Risk: Unknown
National distress rate: 49.3%
LA distress rate: 46.3%
Model AUC: 0.629
| Factor | Value | Contribution | Direction |
|---|---|---|---|
| Occupancy Rate | 0.206 | +0.296 | ▲ risk |
| Medicare Day Pct | 0.332 | +0.001 | ▲ risk |
| Medicaid Day Pct | nan | +nan | ▼ risk |
| Net To Gross Ratio | 0.168 | -0.089 | ▼ risk |
| Revenue Per Bed | 2074809.400 | -0.029 | ▼ risk |
| Beds | 10.000 | -0.019 | ▼ risk |
RCM Improvement Opportunity
Total (risk-adjusted): $5.7M
Current margin: 21.0%
Projected margin: 48.7%
Grade: A
Comps: 36
Gap analysis vs P75 peers with 60% closure assumption. Confidence-weighted by lever implementation difficulty.
| Lever | Current | Benchmark | Gap | Impact | Confidence | Timeline |
|---|---|---|---|---|---|---|
| Occupancy Improvement | 0.206 | 0.795 | 58.8% | $3.9M | 55% | 24mo |
| Net-to-Gross Ratio Improvement | 0.168 | 0.668 | 50.0% | $1.2M | 65% | 18mo |
| Payer Mix Optimization | 0.668 | 0.711 | 4.3% | $651K | 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. |