ML Analysis — PAM REHAB HOSPITAL OF TULSA
CCN 373035 | 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.
49
/ 100 (C)
Financial Health15/25
RCM Upside5/25
Market Position12/20
Demand Defensibility8/15
Operational Efficiency9/15
Entry Multiple: 8.0x – 10.0x
Est. MOIC: 1.9x
Risk Factors:
- Heavy Medicare dependence (>55%)
Catalysts:
- Limited competition supports pricing power
Margin Prediction (Trained Ridge Model)
-1.5%
R²=0.34 | n=4,907 | Grade B | Actual: 16.5%
Ridge regression trained on 4,907 HCRIS hospitals. 90% CI: [-29.8%, 26.8%]. P58 nationally.
| Driver | Value | Effect | Explanation | |
|---|---|---|---|---|
| Expense/Bed | 522048.830 | +0.1398 | Higher Expense/Bed increases predicted margin | |
| Revenue/Bed | 625007.755 | -0.1332 | Lower Revenue/Bed decreases predicted margin | |
| State Peer Margin | -0.088 | -0.0313 | Lower State Peer Margin decreases predicted margin | |
| Reimbursement Quality | 0.101 | +0.0289 | Higher Reimbursement Quality increases predicted m | |
| Occupancy | 0.963 | +0.0249 | Higher Occupancy increases predicted margin |
Suburban Community Hospit
Archetype
41.2%
Distress Risk
$3.6M
RCM Opportunity
B
Opportunity Grade
27.3%
Projected Margin
Cluster: Suburban Community Hospital
Percentile within cluster: P98. Community hospitals — the largest PE deal category. Focus on RCM improvement and cost optimization at 9-11x.
Nearest Peers
| Hospital | State | Beds |
|---|---|---|
| PROMEDICA HICKMAN HOSPITAL | MI | 58 |
| WATAUGA MEDICAL CENTER | NC | 95 |
| ST LUKES HOSPITAL - EASTON CAMPUS | PA | 29 |
| CULPEPER MEMORIAL HOSPITAL | VA | 70 |
| SOUTHSIDE COMMUNITY HOSPITAL | VA | 80 |
| SPECTRUM HEALTH LUDINGTON | MI | 45 |
Distress Analysis
Risk: Elevated
National distress rate: 49.3%
OK distress rate: 58.1%
Model AUC: 0.629
| Factor | Value | Contribution | Direction |
|---|---|---|---|
| Occupancy Rate | 0.963 | -0.407 | ▼ risk |
| Medicare Day Pct | 0.737 | +0.070 | ▲ risk |
| Medicaid Day Pct | 0.026 | -0.063 | ▼ risk |
| Revenue Per Bed | 625007.755 | +0.056 | ▲ risk |
| Net To Gross Ratio | 0.427 | +0.026 | ▲ risk |
| Beds | 53.000 | -0.013 | ▼ risk |
RCM Improvement Opportunity
Total (risk-adjusted): $3.6M
Current margin: 16.5%
Projected margin: 27.3%
Grade: B
Comps: 60
Gap analysis vs P75 peers with 60% closure assumption. Confidence-weighted by lever implementation difficulty.
| Lever | Current | Benchmark | Gap | Impact | Confidence | Timeline |
|---|---|---|---|---|---|---|
| Payer Mix Optimization | 0.237 | 0.475 | 23.9% | $3.6M | 50% | 24mo |
Predicted RCM Performance (Public Data Only)
A
RCM Grade
Strong RCM profile — likely low-risk from an operations perspective. Focus diligence on growth thesis.
| Metric | Predicted | 90% CI | Percentile | Assessment |
|---|---|---|---|---|
| Denial Rate | 2.0% | [2.0%, 25.0%] | P0 | Strong — predicted denial rate is in the top third nationall |
| Days in AR | 25.3 | [25.0, 75.0] | P29 | Strong — predicted days in ar is in the top third nationally |
| 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. |