EarningsThe initiation of coverage with a Buy rating on AHR reflects a decade of anticipated robust AFFO growth that justifies a premium valuation.
Growth PotentialAHR is positioned favorably versus non-REIT peers due to its cost of equity being lower than acquisition cap rates, offering an advantage for future growth.
Market PositionTrilogy, which constitutes 62% of NOI, is considered a best-in-class operator with superior occupancy rates and CMS 5-Star Ratings compared to most SNF operator peers.