Healthpeak Properties Prepares for Q4 Earnings Release Amid Mixed Performance
Healthpeak Properties, Inc. (DOC), a major player in the healthcare real estate investment trust (REIT) sector, is based in Denver, Colorado. The company concentrates on the ownership, development, and management of healthcare properties, such as senior housing, medical office buildings, and life science facilities. With a market cap of $14.8 billion, Healthpeak aims to improve healthcare access by providing vital real estate solutions to healthcare providers. The company is expected to announce its Q4 earnings after the market closes on Monday, Feb. 3.
Analysts project Healthpeak will report a profit of $0.45 per share on a diluted basis, reflecting a slight decrease of 2.2% from the $0.46 per share reported in the same quarter last year. Notably, the company has consistently exceeded Wall Street’s funds from operations (FFO) estimates in its last four quarterly reports. In fiscal Q3, Healthpeak reported an FFO of $0.45, surpassing consensus estimates by 2.3%.
For the full year, analysts forecast an FFO of $1.81, marking a 1.7% increase from $1.78 in fiscal 2023. Looking ahead, the FFO is anticipated to grow 2.8% year over year to hit $1.86 in fiscal 2025.
Over the past year, Healthpeak Properties’ shares have risen 6.9%, falling short compared to the S&P 500 Index’s ($SPX) 25% increase and the Real Estate Select Sector SPDR Fund’s (XLRE) 8.1% gains in the same timeframe.
Healthpeak has struggled in comparison to the broader market and its peers, facing stock volatility and slower growth in certain areas, alongside challenges from ongoing strategic transitions. After releasing its Q3 earnings results on Oct. 24, the company’s stock fell 3.1%. However, Healthpeak achieved revenues of $700.4 million, exceeding analyst expectations of $689 million, and marked a 25.9% year-over-year increase.
Key takeaways from the quarter include a projected $50 million boost in merger-related synergies, attributed to internalizing property management. There was also strong activity in its life science segment, with 733,000 square feet of leases completed at the Gateway, Portside, and Vantage campuses.
Currently, analysts have a moderately bullish outlook on DOC stock, resulting in a “Moderate Buy” rating overall. Of the 19 analysts covering the stock, 12 recommend a “Strong Buy,” two advise a “Moderate Buy,” and five suggest a “Hold.” The average analyst price target for DOC stands at $24.97, indicating a potential upside of 18.2% from current levels.
On the date of publication, Rashmi Kumari did not hold positions (either directly or indirectly) in any of the securities mentioned in this article. All information and data in this article are for informational purposes only. For more details, please view the Barchart Disclosure Policy here. More news from Barchart
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