Diversified Healthcare Trust (NASDAQ: DHC) stock fell 0.00% on Friday to $1.74 against a previous-day closing price of $1.74. With 3.06 million shares changed hands, the volume of the stock remained heavier than its average volume of 2.15 million shares. During the session, the REIT – Healthcare Facilities company that operates in wider Real Estate sector, reached to the highest price of $1.7650 whereas the lowest price it dropped to was $1.5700. The 52-week range on DHC shows that it touched its highest point at $4.04 and its lowest point at $1.67 during that stretch. It currently has a 1-year price target of $3.69. With its current market cap of 437.52 million, DHC has annualized dividend of $0.04 while the current yield stands at 2.30%. Beta for the stock currently stands at 1.50.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of DHC was down-trending over the past week, with a drop of -4.40%, but this was down by -3.33% over a month. Three-month performance dropped to -25.32% while six-month performance fell -46.13%. The stock lost -53.60% in the past year, while it has lost -43.69% so far this year. A look at the trailing 12-month EPS for DHC yields 2.02 with Next year EPS estimates of -0.67. For the next quarter, that number is -0.24. This implies an EPS growth rate of 225.00% for this year and 18.70% for next year. EPS is expected to grow by 3.20% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 4.30%.
Float and Shares Shorts:
At present, 238.15 million DHC shares are outstanding with a float of 235.80 million shares on hand for trading. On Jul 14, 2022, short shares totaled 6.28 million, which was 2.63% higher than short shares on Jun 14, 2022. In addition to Mr. Adam David Portnoy as the firm’s Managing Chair of the Board, Ms. Jennifer F. Francis serves as its Pres, CEO & Managing Trustee.
Through their ownership of 84.57% of DHC’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 47.23% of DHC, in contrast to 36.45% held by mutual funds. Shares owned by individuals account for 1.43%. As the largest shareholder in DHC with 16.41% of the stake, BlackRock Fund Advisors holds 39,215,091 shares worth 39,215,091. A second-largest stockholder of DHC, The Vanguard Group, Inc., holds 38,195,820 shares, controlling over 15.98% of the firm’s shares. SSgA Funds Management, Inc. is the third largest shareholder in DHC, holding 15,659,509 shares or 6.55% stake. With a 7.05% stake in DHC, the iShares Core S&P Small Cap ETF is the largest stakeholder. A total of 16,850,442 shares are owned by the mutual fund manager. The Vanguard Real Estate Index Fund, which owns about 4.59% of DHC stock, is the second-largest Mutual Fund holder. It holds 10,978,572 shares valued at 19.98 million. Vanguard Total Stock Market Index holds 3.02% of the stake in DHC, owning 7,212,750 shares worth 13.13 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for DHC since 3 analysts follow the stock currently. There are 1 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 1 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 1 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With DHC analysts setting a high price target of $5.00 and a low target of $1.70, the average target price over the next 12 months is $3.35. Based on these targets, DHC could surge 187.36% to reach the target high and fall by -2.3% to reach the target low. Reaching the average price target will result in a growth of 92.53% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. DHC will report FY 2022 earnings on 03/01/2023. Analysts have provided yearly estimates in a range of $0.36 being high and $0.36 being low. For DHC, this leads to a yearly average estimate of $0.36. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Diversified Healthcare Trust reported -$0.30 EPS against a consensus estimate of -$0.30. The surprise factor in the prior quarter was -$0.06. Based on analyst estimates, the high estimate for the next quarter is -$0.29 and the low estimate is -$0.29. The average estimate for the next quarter is thus -$0.29.
Dividends & Yield:
In terms of dividends, DHC has a current ratio of $0.04, which is $0.04 over the trailing 12-months, while a dividend of $0.79 is likely to be paid on average over the next five years. Dividend yield is another indicator that appeals to many investors, and DHC currently yields $2.3. In the past year, DHC’s dividend yield has been $2.3, but when looking at the stock over the past five years, its yield has been $7.56. Accordingly, DHC has a current buyback yield of $0.09. This was $0.09 for the TTM, and it was $0.02 for the past five years.
Summary of Insider Activity:
Insiders traded DHC stock several times over the past three months with 8 Buys and 1 Sells. In these transactions, 160,000 shares were bought while 20,000 shares were sold. The number of buy transactions has increased to 10 while that of sell transactions has risen to 3 over the past year. The total number of shares bought during that period was 250,000 while 36,644 shares were sold.