Medical Properties (MPW) closed the last day of trading at $20.23, down -0.39% from the previous trading session. That change was narrower than the S&P 500’s 1.21% daily loss. Elsewhere, the Dow Jones lost 0.33%, while the tech-heavy Nasdaq lost 0.49%.
Going into today, shares of the healthcare real estate investment trust had gained 1.86% in the past month, lagging the financial sector’s 3% gain and the gain 5.85% of the S&P 500 during this period.
Medical Properties will be looking to show some strength ahead of its next earnings release. On that day, Medical Properties is expected to report earnings of $0.47 per share, which would represent 11.9% year-over-year growth. Our most recent consensus estimate calls for quarterly revenue of $410.32 million, up 13.11% from the prior year period.
Looking to the full year, our Zacks consensus estimates suggest analysts are expecting earnings of $1.87 per share and revenue of $1.64 billion. These totals would mark changes of +6.86% and +6.27%, respectively, from last year.
Any recent changes to analyst estimates for Medical Properties should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term trading trends. Therefore, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Our research shows that these estimate changes are directly correlated to short-term stock prices. Investors can take advantage of this by using the Zacks ranking. This model accounts for these estimation changes and provides a simple and actionable scoring system.
The Zacks ranking system ranges from #1 (strong buy) to #5 (strong sell). It has a remarkable track record of third-party audited success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has risen 0.46% . Medical Properties currently sports a Zacks rank of #3 (Hold).
Investors should also note Medical Properties’ current valuation metrics, including its Forward P/E ratio of 10.86. Its industry sports an average Forward P/E of 15.26, so we could conclude that Medical Properties is trading at a comparative discount.
We can also see that MPW currently has a PEG ratio of 1.66. This popular measure is similar to the widely known P/E ratio, except that the PEG ratio also takes into account the company’s expected earnings growth rate. REIT and Equity Trust – Other stocks hold an average PEG ratio of 2.88 based on yesterday’s closing prices.
The REITs and Equity Trusts – Other segment is part of the Finance segment. This group has a Zacks industry ranking of 100, which places it in the top 40% of over 250 industries.
The Zacks Industry Ranking assesses the strength of our industry groups by measuring the average Zacks Ranking of individual stocks within the groups. Our research shows that the top 50% of industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and more, at Zacks.com.
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Medical Properties Trust, Inc. (MPW): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.