
CareTrust REIT (CTRE) Stock Forecast & Price Target
CareTrust REIT (CTRE) Analyst Ratings
Bulls say
CareTrust REIT's planned $817 million merger with Care REIT indicates immediate financial accretion, which is a strong positive signal for the company's future earnings potential. The merger also presents an opportunity for CareTrust REIT to effectively leverage its under-utilized balance sheet, enhancing its financial flexibility and growth prospects. This strategic move into the UK market further diversifies its portfolio, reinforcing its position within the healthcare real estate sector.
Bears say
CareTrust REIT is facing potential headwinds due to tenant challenges that may hinder earnings growth, impacting financial stability negatively. The company's initial lease yield of 8.1% is notably lower than the approximately 10% cash lease yields reported by other U.S. REIT peers, which raises concerns about its competitive positioning in the market. Additionally, tax leakage associated with profit repatriation could further diminish the overall investment yield by an estimated 50 to 100 basis points, contributing to a less favorable outlook for the company's financial performance.
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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