ML Analysis — OSMOND GENERAL HOSPITAL
CCN 281347 | 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 Health4/25
RCM Upside17/25
Market Position8/20
Demand Defensibility7/15
Operational Efficiency4/15
Entry Multiple: 8.0x – 10.0x
Est. MOIC: 1.9x
Risk Factors:
- Negative operating margin
- Small facility (<50 beds) — limited scale
- Low occupancy (<30%) — demand risk
Catalysts:
- Limited competition supports pricing power
Margin Prediction (Trained Ridge Model)
-16.8%
R²=0.34 | n=4,907 | Grade B | Actual: -4.8%
Ridge regression trained on 4,907 HCRIS hospitals. 90% CI: [-45.1%, 11.5%]. P25 nationally.
| Driver | Value | Effect | Explanation | |
|---|---|---|---|---|
| Revenue/Bed | 422870.600 | -0.1614 | Lower Revenue/Bed decreases predicted margin | |
| Expense/Bed | 442996.000 | +0.1496 | Higher Expense/Bed increases predicted margin | |
| Reimbursement Quality | 0.507 | -0.0878 | Higher Reimbursement Quality decreases predicted m | |
| Net-to-Gross | 0.742 | +0.0418 | Higher Net-to-Gross increases predicted margin | |
| Log(Beds) | 2.996 | -0.0320 | Lower Log(Beds) decreases predicted margin |
Turnaround: 23%Low turnaround probability (23%). Structural disadvantages in Revenue/Bed and Expense/Bed.
nan%
Distress Risk
$37K
RCM Opportunity
D
Opportunity Grade
-4.3%
Projected Margin
Distress Analysis
Risk: Unknown
National distress rate: 49.3%
NE distress rate: 53.1%
Model AUC: 0.629
| Factor | Value | Contribution | Direction |
|---|---|---|---|
| Occupancy Rate | 0.265 | +0.242 | ▲ risk |
| Medicare Day Pct | 0.317 | -0.002 | ▼ risk |
| Medicaid Day Pct | nan | +nan | ▼ risk |
| Net To Gross Ratio | 0.741 | +0.166 | ▲ risk |
| Revenue Per Bed | 422870.600 | +0.068 | ▲ risk |
| Beds | 20.000 | -0.017 | ▼ risk |
RCM Improvement Opportunity
Total (risk-adjusted): $37K
Current margin: -4.8%
Projected margin: -4.3%
Grade: D
Comps: 69
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 | 0.741 | 0.779 | 3.7% | $37K | 65% | 18mo |
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. |