
CareTrust REIT (CTRE) Stock Forecast & Price Target
CareTrust REIT (CTRE) Analyst Ratings
Bulls say
CareTrust REIT's planned $817 million merger with Care REIT is anticipated to bring immediate accretion, enhancing the company’s financial performance and growth potential. The merger positions CareTrust to effectively utilize its under-leveraged balance sheet, which could further support expansion and investment opportunities in the healthcare real estate sector. This strategic move into the UK market reflects a robust growth strategy that may bolster CareTrust's revenue streams and operational efficiency.
Bears say
The financial outlook for CareTrust REIT is tempered by significant risks related to tenant stability and potential disruptions, which could hinder earnings growth and impact financial performance. Additionally, the company's initial lease yield of 8.1% is notably lower than the approximately 10% cash lease yields reported by comparable U.S. REIT peers, raising concerns about its competitive positioning in the market. Furthermore, the issue of tax leakage, with potential impacts of 50 to 100 basis points on investment yield due to the repatriation of profits, further compounds the challenges facing the company's financial outlook.
This aggregate rating is based on analysts' research of CareTrust REIT and is not a guaranteed prediction by Public.com or investment advice.
CareTrust REIT (CTRE) Analyst Forecast & Price Prediction
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