How Analysts View HCP Inc. in Fiscal 2018
Analysts gave HCP a mean price target of $26.59, implying a significant ~17.0% rise from its current level of $22.68.
HCP’s Performance in Comparison to Its Peers
HCP has a $2.0 billion credit facility with maturity in 2021, and the majority of its debt matures after 2019.
HCP and Its Falling Shareholder Returns
HCP has indicated that the recently enacted Tax Cut and Jobs Act could materially and adversely affect the company and its stockholders.
HCP’s Portfolio Riding on Developments, Acquisitions, and More
In 4Q17, HCP recorded an $84.0 million impairment on the debt investment and reduced the value to $105.0 million.
HCP Inc.’s Demographic Drivers of Demand
According to the National Bureau of Economic Data, the first wave of Baby Boomers are expected to turn 75 in 2020.
HCP Inc.’s Expanding Medical Office Portfolio
Rental revenues for HCP increased ~3.0% from $392.0 million in 2016 to $400.0 million in 2017.
Chart in Focus: HCP’s Life Science Portfolio
Life Science is an 8.0 million square foot portfolio and represents ~25.0% of HCP’s NOI.
HCP Beats Funds from Operations, Misses on Revenues in 4Q17
For 2017, HCP’s funds from operation stood at $1.95 per share, and its same-store cash NOI growth was 3.4%.
HCP’s Cautious View for Its Senior Housing Portfolio in 2018
HCP Inc. has a diversified senior housing portfolio, which has a balanced mix of triple net and SHOP (senior housing operating portfolio).
Healthcare Trust of America Maintains Its ‘Buy’ Rating in 2018
Analysts gave HTA a mean price target of $33.38, implying a significant ~26.0% rise from its current level of $26.30.
Healthcare Trust of America’s Performance in Comparison to Its Peers
HTA has earnings per share of $0.33 and a PE (price-to-earnings) ratio of ~111.0x.
How Healthcare Trust of America Rewards Its Investors
HTA paid dividends of $1.17 in 2015, $1.19 in 2016, and $1.21 in 2017.
Healthcare Trust of America’s Strategic Rationale
HTA has 3.4% combined pro forma same-store NOI growth, and its development assets are currently 86.0% pre-leased.
HTA’s Portfolio Riding on Investments, Acquisitions, and More
Healthcare Trust of America (HTA) completed investments of $2.7 billion in 2017, and 90% of these properties are in key strategic markets.
Ventas Is Trading at a Discount to Peers
Funds from operation (or FFO) for Ventas (VTR) for 3Q17 stood at $1.04 per share.
Why Ventas Stock Is Falling
The recent increase in interest rates has impacted the performance of VTR.
How Does Ventas’s Balance Sheet Look?
Ventas (VTR) has a strong flexible balance sheet and excellent liquidity.
How Welltower Is Rewarding Its Shareholders
Welltower (HCN) announced a dividend of $0.87 per share for 3Q17 from the previous guidance $0.86 in 3Q16. The dividend yield stands at ~5.6%.
Welltower’s Efficiently Managed Debt and Balance Sheet
Welltower (HCN) has kept its balance sheet in good shape. It has a cash balance of $236 million and $2.6 billion in credit line availability.
Welltower’s 3Q17 Performance and Outlook
Welltower (HCN) increased its SSNOI (same-store net operating income) to 2.5%–3% from 2.25%–3%. This slight increase is due to strong seniors’ housing operating performance.
Why HCP’s Dividend Yield Is Moving South
Revenue and earnings HCP (HCP) is a healthcare REIT specializing in US healthcare property investment. In 2016, the company’s revenue growth slowed to 10% from 19% in 2015. The growth was driven by its senior housing operating portfolio, life science segment, and medical office segment, and partially offset by its senior housing triple-net segment. Rental and […]
Welltower Compared to Other Industry Players after 2Q17
Welltower’s current price-to-FFO multiple is 17.34x. It had higher-than-expected results in 2Q17 and has an optimistic outlook for fiscal 2017.
How Welltower Maintained a Strong Balance Sheet in 2Q17
Wellstone’s debt-to-equity ratio stood at 0.81x for 2Q17. That was lower than the industry mean of 1.07x.
How Welltower Rewarded Stockholders in 2Q17
On June 30, 2017, Welltower (HCN) announced a quarterly cash dividend of $0.87. The dividend is scheduled to be paid on August 21, 2017.
How Welltower Fared in Terms of Cost Control in 2Q17
Higher same-store NOI (net operating income) and a strong demand for premium senior housing facilities drove Welltower’s profits during the quarter.
How Does Wall Street Rate Welltower among Healthcare REITs?
Welltower’s (HCN) expected performance in 2017 is reflected in analysts’ ratings for its stock. Analysts have given HCN a mean price target of $72.19.
Comparing Welltower to Its Industry Peers
The price-to-FFO (funds from operations) multiple is the most popular method of valuing real estate investment trusts (or REIT) such as Welltower (HCN).
How Well Does Welltower Return Value to Its Shareholders?
Healthcare REITs such as Welltower (HCN) have to pay at least 90% of their taxable incomes as shareholder returns in order to function as REITs.
How Obamacare Has Affected Welltower and Healthcare REITs
The new administration under President Donald Trump has taken a key step toward repealing the Affordable Health Care Act, more popularly known as Obamacare.
Innovation and Foreign Investment Drive Welltower’s Growth
Welltower (HCN) has successfully set itself on a growth trajectory backed by strategic initiatives, aiding its steady top line growth.
Will Welltower Maintain Its Business Momentum in the Future?
Welltower’s (HCN) strategic presences in high-barrier and affluent markets help it to maintain its leadership in the healthcare infrastructure industry.
Welltower: A Healthcare REIT Poised to Grow amid Macro Headwinds
Amid uncertainty in the healthcare sector, Welltower has been able to maintain its business momentum on the back of higher operating efficiency and strategic initiatives.
Praxair and Linde AG Come Up with Merger Details
Praxair shares dropped 4.0% for the week ended December 23, 2016, and closed at $117.59, as many analysts believed that the proposed merger is more favorable to Linde shareholders.
How Morgan Stanley Conference Reversed Course for Honeywell Stock
The preference under the leadership of Honeywell’s (HON) CEO, David Cote, is generally toward keeping the share count flat and reinvesting its surplus cash to grow its business.
Emerson’s Commercial & Residential Solutions Enjoying Growth
Revenues for Emerson Electric’s (EMR) Commercial & Residential Solutions segment have risen from $1.8 billion in 2011 to $1.9 billion in 2015.
Emerson Enjoying the Heat from the Sunbelt’s Population Boom
Because the Sunbelt region is the primary market for HVAC manufacturers that are Emerson’s customers, it could be a key growth driver in the coming quarters.
Analyzing Emerson ‘s Climate Technologies Segment
Emerson Electric’s (EMR) Climate Technologies segment was responsible for 15.0%–17.4% of annual sales from 2011 to 2015.
Not Much to Brag About for Emerson’s Industrial Automation Unit
Revenues for Emerson’s Industrial Automation segment have fallen from $5.3 billion in 2011 to $4.1 billion in 2015.
Emerson Snaps Up Pentair’s Valves Business for $3.1 Billion
On August 18, 2016, Emerson Electric (EMR) announced that it signed an agreement to acquire Pentair’s (PNR) Valves & Controls business for $3.2 billion.
Dover’s Engineered Systems Segment Glimmers Amid Gloom
Engineered systems sales were responsible for 35.1% of Dover’s (DOV) total sales and 47% of its total segment profits in 2Q16.
What Are the Key Trends Shaping 3M’s Industrial Business?
3M Company’s (MMM) Industrial business works with the top 20 global automotive (FSAVX) original equipment manufacturers (or OEMs) across their value chains.
Why Banks Rallied on February 12 but Could Not Offset Weekly Losses
The S&P500 Index gained by 2% on Friday, February 12, led by gains in bank stocks. But for the week, markets closed in the red, falling by 0.7%.
Healthcare REITs Continue Their Strong Run
Healthcare REITs have shown resilience in the rising rate environment. REITs will likely be hurt more in this environment since they have to incur higher expenses.
Healthcare REITs Saw Steady Growth Last Week
Healthcare REITs ended the week of December 31, 2015, as the most valuable subgroup within the iShares US Real Estate ETF (IYR).
How Would a Rate Hike Impact REITs?
If rates do rise in December, as most experts are expecting, a mass selloff in REITs will likely occur.
Investment-Grade Bond Funds Saw Outflows in Week Ended November 25
For the week ended November 25, investment-grade bond funds saw net outflows of $1.46 billion after witnessing two consecutive weeks of inflows.
Metlife Global Funding I Issued $1.25 Billion in High-Grade Bonds
A subsidiary of MetLife, Inc. (MET), Metlife Global Funding I is a special purpose statutory trust. It issued $1.25 billion in high-grade bonds rated Aa3/AA- in two parts.
Investment-Grade Corporate Bond Issuances Fell after Thanksgiving
Investment-grade corporate bond issuances worth $2.65 billion for the week ended November 27, 2015, and fell 92% from the previous week.
Could Investing in SDY Benefit Your Portfolio?
The total annualized return of SDY since its inception on November 15, 2005, is 7.9%, which is on par with other smart beta ETFs.
How Has SDY Performed in the Market in 2015?
SDY has underperformed in the market, having given total year-to-date returns of 0.9%, which is less than the market’s year-to-date return of 3.3%.
Moving Average Trend and Analysts’ Estimates for SDY
The SPDR S&P Dividend ETF (SDY) is currently trading at 3.1% above its 100-day moving averages.
REITs as an Investment Vehicle
REITs have become a popular investment tool to provide limited-time exposure to real estate for investors who cannot make significant investments.
What Should Investors Expect from the REIT Market?
While the higher volatility has affected the broader indices during the past two months, the impact was more evident on REIT stocks.
Affordable Healthcare Is Boosting Healthcare REITs
Healthcare REITs own healthcare properties like senior housing communities, skilled nursing facilities, hospitals, and medical office buildings.
US Mortgage Applications Dip, Housing Market Seeks Revival
Mortgage applications really dove during the fourth quarter last year. They recovered a little in January, but fell again in February 2015.
Why Sandell wants to revamp Brookdale’s board
Sandell wants Brookdale to revamp its board because It has no director with real estate experience and lacks in independent shareholder representation.
Brookdale Senior Living in final phase of strategic transactions
In July 2014, Brookdale completed a $3 billion acquisition of Emeritus Senior Living and became the first national senior living solutions company.
Must-know: The pros and cons of investing in dividend ETFs
A dividend exchange-traded fund (or ETF) consists of dividend-paying stocks. Usually, ETFs track a dividend index. The stocks in the fund or index are selected based on their dividend yield.
Why mortgage applications plummeted when interest rates increased
Mortgage applications fell 3.5% for the week ending March 21 because mortgage rates spiked.