Want to see CTRE full AI Analyst Report?
Top Page
CareTrust REIT
(NYSE:CTRE)
Select Model
Select Model
Rating:77Outperform
Price Target:
$41.00
â–²(2.76% Upside)
Action:Reiterated
Date:10/02/26
CTRE scores well primarily due to strong financial performance (high margins, accelerating revenue growth, and excellent free cash flow) and a positive earnings outlook with raised guidance and conservative leverage/liquidity. The main drag is weak technical momentum with the stock trading below major moving averages and negative MACD, while valuation is supportive but not decisively cheap.
Positive Factors
Contractual Rental Model
CareTrust’s healthcare real estate model is anchored by long-term leases and contractual escalators, with tenants generally responsible for maintenance, insurance, and taxes. This supports predictable net rental income and reduces property-level cost volatility over the next several quarters.
Negative Factors
SHOP Competition
Greater competition in senior housing operating properties can make attractive acquisitions harder to secure and reduce prospective returns. Compressed cap rates may limit the contribution of SHOP investments to growth and force CareTrust to be more selective about deployment over the coming quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Contractual Rental Model
CareTrust’s healthcare real estate model is anchored by long-term leases and contractual escalators, with tenants generally responsible for maintenance, insurance, and taxes. This supports predictable net rental income and reduces property-level cost volatility over the next several quarters.
Read all positive factors
CareTrust REIT (CTRE) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$8.74B
Dividend Yield4.07%
Average Volume (3M)2.54M
Price to Earnings (P/E)23.0
Beta (1Y)0.17
Revenue Growth53.07%
EPS Growth32.48%
CountryUS
Employees43
SectorReal Estate
Sector Strength53
IndustryREIT - Healthcare Facilities
Share Statistics
EPS (TTM)1.61
Shares Outstanding236,293,200
10 Day Avg. Volume2,127,991
30 Day Avg. Volume2,541,316
Financial Highlights & Ratios
PEG Ratio0.25
Price to Book (P/B)1.82
Price to Sales (P/S)15.45
P/FCF Ratio19.43
Enterprise Value/Market Cap1.22
Enterprise Value/Revenue19.56
Enterprise Value/Gross Profit25.72
Enterprise Value/Ebitda20.31
Forecast
1Y Price Target
$44.00Price Target Upside10.28% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering11
EPS Forecast (FY)1.55
Revenue Forecast (FY)$514.66M
CareTrust REIT Business Overview & Revenue Model
Company Description
CareTrust REIT, Inc. operates as a self-managed, publicly traded real estate investment trust. The company specializes in the ownership, acquisition, development, and leasing of various healthcare properties, including skilled nursing facilities, ...
How the Company Makes Money
CareTrust REIT makes money primarily by owning healthcare real estate and leasing it to operating companies that run the underlying care businesses. Its core revenue stream is contractual rent collected from tenants under long-term lease arrangeme...
CareTrust REIT Earnings Call Summary
Earnings Call Date:Aug 06, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 05, 2026
Earnings Call Sentiment Positive
The call was strongly positive on operational and financial performance: record quarterly investments, robust YTD deployment (~$1.5B), double-digit per-share growth guidance, materially higher normalized FFO/FAD and conservative leverage with ample liquidity. Offsetting items are focused and tactical: competitive pressures and cap rate compression in the SHOP market, modest pricing premium on a large U.K. buy, reliance on unsettled equity forward proceeds and certain guidance assumptions, and multi-year uncertainty around financing receivable purchase options. Overall the strengths (record investment activity, significant FFO/FAD growth, strong balance sheet and operator quality) materially outweigh the select execution and market risks discussed.Positive Updates
Record Quarterly and Year-to-Date Investments
Closed approximately $900 million of investments in Q2 at a blended stabilized yield of 8.9% (single largest investment quarter excluding M&A). Since June 30, an additional ~$308 million closed at ~7.8% yield. Year-to-date investments total approximately $1.5 billion.
Negative Updates
SHOP: Competitive Pressure and Cap Rate Compression
Increased private-market entrant activity and competition in the SHOP space has compressed cap rates and made it difficult to secure attractive risk-adjusted returns. Management noted missing some SHOP deals primarily on price and that SHOP transactions have become more competitive.
Read all updates
Q2-2026 Updates
Positive
Negative
Record Quarterly and Year-to-Date Investments
Closed approximately $900 million of investments in Q2 at a blended stabilized yield of 8.9% (single largest investment quarter excluding M&A). Since June 30, an additional ~$308 million closed at ~7.8% yield. Year-to-date investments total approximately $1.5 billion.
Read all positive updates
Company Guidance
CareTrust raised full-year 2026 guidance, now projecting normalized FFO per share of $2.03–$2.06 and normalized FAD per share of $2.01–$2.04 (midpoint implying ~16.2% FFO/share and ~15.1% FAD/share growth vs. 2025) based on a weighted average diluted share count of 233 million; the outlook assumes no new investments/loans/dispositions or debt/equity issuances beyond year‑to‑date activity, 2.5% inflation-based rent escalators on long‑term triple‑net leases, $147 million of loans to be repaid during the year (≈$104 million received to date), and no material change in GBP/USD. The company noted ample liquidity to fund guidance with roughly $1.4 billion available (≈$90 million cash, $605 million revolver availability on a $1.2 billion facility, ≈$671 million unsettled equity forwards and ≈$785.8 million ATM capacity), a net debt to annualized normalized run‑rate EBITDA of 1.0x, fixed charge coverage of 9.9x, and no scheduled debt maturities before 2028.CareTrust REIT Financial Statement Overview
Summary
Income Statement
86
Very Positive
Balance Sheet
88
Very Positive
Cash Flow
91
Very Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 543.45M | 476.59M | 228.26M | 198.60M | 187.51M | 190.19M |
| Gross Profit | 413.20M | 281.79M | 214.71M | 189.01M | 178.13M | 186.62M |
| EBITDA | 523.27M | 462.04M | 211.64M | 145.86M | 72.88M | 151.05M |
| Net Income | 355.40M | 320.54M | 125.08M | 53.73M | -7.51M | 71.98M |
Balance Sheet | ||||||
| Total Assets | 5.93B | 5.15B | 3.44B | 2.08B | 1.62B | 1.64B |
| Cash, Cash Equivalents and Short-Term Investments | 49.27M | 198.04M | 213.82M | 294.45M | 13.18M | 19.89M |
| Total Debt | 1.21B | 894.22M | 396.93M | 595.60M | 719.50M | 673.40M |
| Total Liabilities | 1.42B | 1.09B | 507.63M | 666.12M | 771.41M | 725.09M |
| Stockholders Equity | 4.49B | 4.04B | 2.91B | 1.42B | 849.37M | 915.76M |
Cash Flow | ||||||
| Free Cash Flow | 431.35M | 379.04M | 236.20M | 143.79M | 137.12M | 150.86M |
| Operating Cash Flow | 446.99M | 394.03M | 244.25M | 154.77M | 144.41M | 156.87M |
| Investing Cash Flow | -1.63B | -1.46B | -1.51B | -267.81M | -127.40M | -192.63M |
| Financing Cash Flow | 923.12M | 1.05B | 1.19B | 394.32M | -23.73M | 36.74M |
CareTrust REIT Technical Analysis
Neutral
39.90
Price Trends
37.55
Negative
38.57
Negative
38.33
Negative
Market Momentum
-0.27
Negative
52.16
Neutral
72.72
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CTRE, the sentiment is Neutral. The current price of 39.9 is above the 20-day moving average (MA) of 36.34, above the 50-day MA of 37.55, and above the 200-day MA of 38.33, indicating a neutral trend. The MACD of -0.27 indicates Negative momentum. The RSI at 52.16 is Neutral, neither overbought nor oversold. The STOCH value of 72.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CTRE.
CareTrust REIT Risk Analysis
CareTrust REIT disclosed 50 risk factors in its most recent earnings report. CareTrust REIT reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
CareTrust REIT Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $8.74B | 22.97 | 8.54% | 4.07% | 53.07% | 32.48% | |
72 Outperform | $14.24B | 16.27 | 16.51% | 5.72% | 15.18% | 72.69% | |
70 Outperform | $2.37B | 15.59 | 12.28% | 5.19% | 59.94% | 49.34% | |
68 Neutral | $3.31B | 19.44 | 10.96% | 5.48% | 23.77% | 10.04% | |
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% | |
65 Neutral | $5.05B | 74.92 | 2.34% | 6.07% | 18.43% | -65.50% | |
65 Neutral | $709.02M | 19.80 | 72.36% | 5.21% | 18.27% | 6.18% |
* Real Estate Sector Average
CTRE
CareTrust REIT
36.98
3.06
9.01%
LTC
LTC Properties
43.96
10.79
32.55%
NHI
National Health Investors
67.46
-4.02
-5.62%
OHI
Omega Healthcare
47.01
9.30
24.65%
SBRA
Sabra Healthcare REIT
19.78
3.07
18.38%
STRW
Strawberry Fields REIT Inc
12.67
1.81
16.66%
CareTrust REIT Corporate Events
Business Operations and StrategyFinancial DisclosuresM&A Transactions
CareTrust REIT expands UK care home portfolio
Positive
Oct 2, 2026
On October 1, 2026, CareTrust REIT, through its UK subsidiary, completed the acquisition of share capital in companies holding 23 completed care homes and one additional home pending regulatory approval from LNT Care Developments for approximately...
Business Operations and StrategyDividendsFinancial Disclosures
CareTrust REIT Raises 2026 Guidance After Strong Quarter
Positive
Aug 6, 2026
CareTrust REIT reported strong operating results for the quarter ended June 30, 2026, highlighted by net income of $89.0 million, or $0.38 per diluted share, up 9% year over year, and double-digit gains in Normalized FFO and FAD per share to $0.51...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.