Welltower (NYSE:WELL) is gearing up to announce its quarterly earnings on Monday, 2024-10-28. Here's a quick overview of what investors should know before the release.
Analysts are estimating that Welltower will report an earnings per share (EPS) of $1.05.
The announcement from Welltower is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.
It's worth noting for new investors that guidance can be a key determinant of stock price movements.
Historical Earnings Performance
During the last quarter, the company reported an EPS beat by $0.04, leading to a 0.53% increase in the share price on the subsequent day.
Here's a look at Welltower's past performance and the resulting price change:
| Quarter | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 |
|---|---|---|---|---|
| EPS Estimate | 1.01 | 0.94 | ||
| EPS Actual | 1.05 | 1.01 | 0.96 | 0.92 |
| Price Change % | 1.0% | -1.0% | 7.000000000000001% | 2.0% |
Tracking Welltower's Stock Performance
Shares of Welltower were trading at $132.04 as of October 24. Over the last 52-week period, shares are up 59.68%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analyst Insights on Welltower
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Welltower.
Analysts have provided Welltower with 8 ratings, resulting in a consensus rating of Neutral. The average one-year price target stands at $122.5, suggesting a potential 7.23% downside.
Peer Ratings Overview
In this analysis, we delve into the analyst ratings and average 1-year price targets of Ventas, Alexandria Real Estate and Healthpeak Properties, three key industry players, offering insights into their relative performance expectations and market positioning.
The consensus outlook from analysts is an Outperform trajectory for Ventas, with an average 1-year price target of $65.88, indicating a potential 50.11% downside. For Alexandria Real Estate, analysts project an Neutral trajectory, with an average 1-year price target of $125.44, indicating a potential 5.0% downside. For Healthpeak Properties, analysts project an Outperform trajectory, with an average 1-year price target of $24.75, indicating a potential 81.26% downside. Analysis Summary for Peers
The peer analysis summary presents essential metrics for Ventas, Alexandria Real Estate and Healthpeak Properties, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Welltower | Neutral | 13.35% | $681.44M | 0.90% |
| Ventas | Outperform | 8.55% | $519.18M | 0.20% |
| Alexandria Real Estate | Neutral | 9.64% | $542.48M | 0.90% |
| Healthpeak Properties | Outperform | 27.31% | $413.85M | 1.65% |
Key Takeaway:
Welltower ranks in the middle for consensus rating. It is at the bottom for revenue growth. It is at the top for gross profit. It is in the middle for return on equity.
About Welltower
Welltower owns a diversified healthcare portfolio of 2,096 in-place properties spread across the senior housing, medical office, and skilled nursing/post-acute care sectors. The portfolio includes over 100 properties in both Canada and the United Kingdom as the company looks for additional investment opportunities in countries with mature healthcare systems that operate similarly to that of the United States.
Welltower's Economic Impact: An Analysis
Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.
Revenue Growth: Welltower's revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2024, the company achieved a revenue growth rate of approximately 13.35%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Real Estate sector.
Net Margin: Welltower's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 14.21%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Welltower's ROE stands out, surpassing industry averages. With an impressive ROE of 0.9%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Welltower's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 0.57% ROA, the company effectively utilizes its assets for optimal returns.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.49.
To track all earnings releases for Welltower visit their earnings calendar on our site.
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