Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of retirement home operator Brookdale Senior Living
So what: The company reported earnings this morning -- and missed analyst targets on both the top and bottom lines. However, management signaled a willingness to go on a buying spree as the industry consolidates, and even expanded its line of credit by $30 million.
Now what: In case you're skeptical, Brookdale intends to use the larger credit line to "pursue opportunities as they arise," and you can't get much clearer about acquisitive intentions than that. In a combined cash-and-stock deal, I can see Brookdale making a play for tightly run operations such as Capital Senior Living or Emeritus in the next year or so.
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