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Strawberry Fields REIT Inc
(STRW)
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Rating:65Neutral
Price Target:
$15.00
▲(7.91% Upside)
Action:Reiterated
Date:09/18/26
The score is primarily held back by balance sheet leverage risk despite strong operating results and solid cash generation. Support comes from constructive earnings-call updates (rent collection, financing flexibility, pipeline, and disciplined payout) and a modestly improving technical trend; valuation is helped by the dividend yield but tempered by a mid-range P/E.
Positive Factors
Revenue and operating growth
Consistent revenue expansion alongside strong operating margins indicates that the portfolio is scaling while retaining substantial property-level profitability. This combination supports recurring earnings growth, improves internal funding capacity, and provides a durable base for additional healthcare real-estate acquisitions.
Negative Factors
High leverage
Leverage remains a central constraint because debt obligations are substantial relative to operating earnings and asset value. Higher indebtedness can reduce financial flexibility, increase sensitivity to refinancing conditions, and limit the company’s ability to fund acquisitions or absorb weaker tenant and property performance.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and operating growth
Consistent revenue expansion alongside strong operating margins indicates that the portfolio is scaling while retaining substantial property-level profitability. This combination supports recurring earnings growth, improves internal funding capacity, and provides a durable base for additional healthcare real-estate acquisitions.
Read all positive factors
Strawberry Fields REIT Inc (STRW) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$742.60M
Dividend Yield4.93%
Average Volume (3M)39.35K
Price to Earnings (P/E)20.9
Beta (1Y)0.12
Revenue Growth18.27%
EPS Growth6.18%
CountryUS
Employees9
SectorReal Estate
Sector Strength53
IndustryREIT - Healthcare Facilities
Share Statistics
EPS (TTM)0.64
Shares Outstanding14,157,336
10 Day Avg. Volume46,989
30 Day Avg. Volume39,352
Financial Highlights & Ratios
PEG Ratio4.15
Price to Book (P/B)13.74
Price to Sales (P/S)1.07
P/FCF Ratio1.85
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$15.70Price Target Upside12.95% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering5
EPS Forecast (FY)0.72
Revenue Forecast (FY)$162.44M
Strawberry Fields REIT Inc Business Overview & Revenue Model
Company Description
Strawberry Fields REIT, Inc., is a self-administered real estate investment trust engaged in the ownership, acquisition, development and leasing of skilled nursing and certain other healthcare-related properties. The Company’s portfolio includes 1...
How the Company Makes Money
Strawberry Fields REIT primarily makes money by acquiring healthcare facilities (primarily skilled nursing and related post-acute care properties) and leasing them to operating companies. Its core revenue stream is contractual rental income genera...
Strawberry Fields REIT Inc Earnings Call Summary
Earnings Call Date:Aug 06, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 17, 2026
Earnings Call Sentiment Positive
The call emphasized several clear operational strengths — 100% rent collection, a $300M credit facility, revenue growth (+6.4% YTD), strong AFFO and adjusted EBITDA CAGR metrics, an active acquisition pipeline (~$225M+) and conservative dividend/payout discipline. Offsetting these positives were timing and execution challenges on deal closings, higher near-term G&A/one-time closing costs, FX translation pressure from shekel-denominated debt, and a persistent valuation discount versus peers. Management expects pipeline activity to accelerate into Q4 and reiterated plans to close meaningful deals and continue accretive growth. Overall, the positives (stable cash collection, financing flexibility, measurable AFFO/EBITDA growth, and a sizeable pipeline) outweigh the transitory and execution-related negatives.Positive Updates
Consistent Rent Collection
Collected 100% of contractual rents during the quarter and reiterated collection across the portfolio (EBITDARM rent coverage 2.17 as of May 31).
Negative Updates
Slower / Erratic Deal Closings This Year
Management described a quiet, 'wonky' year with multiple deals that broke or were delayed (operator transitions, employee concerns, and a contested bankruptcy sale). Result: slower-than-expected timing of acquisitions despite a strong pipeline.
Read all updates
Q2-2026 Updates
Positive
Negative
Consistent Rent Collection
Collected 100% of contractual rents during the quarter and reiterated collection across the portfolio (EBITDARM rent coverage 2.17 as of May 31).
Read all positive updates
Company Guidance
Management reiterated steady operational and financial guidance: the company collected 100% of contractual rents, closed a $300M corporate credit facility ($100M term/$200M revolver) at SOFR + 2.75%, and expects to close a $10.4M hospital campus in Q3 that adds $1.04M of annual base rent with 3% annual increases; the Board approved a Q3 dividend of $0.17/share (payable Sept 30, record Sept 16), bringing YTD dividends to $0.70/share (4.9% yield) with an AFFO payout of 50.6%. Management noted a pipeline in excess of $225M and reiterated a target of $100–150M of acquisitions this year (roughly $130M potentially by year-end), while reporting 1H revenue of $80M (up $4.8M, +6.4%), Q2 revenue of $40M, 1H net income $18.4M ($0.33/share), Q2 net income $8.9M, 2026 AFFO of $73.9M (11% CAGR) with projected AFFO/share growth of 10.1%, adjusted EBITDA $135.7M (50% CAGR), lease yield 14.4%, portfolio EBITDARM coverage 2.17, remaining average lease term 6.9 years, net debt/adjusted EBITDA 5.7, net debt-to-net-asset ~49.8%, total assets $878.5M, and a portfolio of 142 facilities (15,496 licensed beds) with annualized base rents of $143M (implying >$1.4B at a 10% cap).Strawberry Fields REIT Inc Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
34
Negative
Cash Flow
72
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 159.84M | 155.00M | 117.06M | 99.81M | 92.54M | 87.03M |
| Gross Profit | 97.01M | 46.65M | 101.84M | 84.79M | 78.88M | 75.67M |
| EBITDA | 133.70M | 130.51M | 94.34M | 75.20M | 66.42M | 57.56M |
| Net Income | 8.47M | 7.58M | 4.09M | 2.50M | 1.85M | 5.34M |
Balance Sheet | ||||||
| Total Assets | 878.46M | 885.23M | 787.59M | 616.79M | 547.00M | 569.96M |
| Cash, Cash Equivalents and Short-Term Investments | 42.15M | 31.81M | 48.37M | 12.17M | 20.20M | 26.21M |
| Total Debt | 803.30M | 791.35M | 671.74M | 537.99M | 457.25M | 503.86M |
| Total Liabilities | 845.82M | 834.70M | 704.02M | 569.52M | 497.62M | 534.91M |
| Stockholders Equity | 8.26M | 12.11M | 18.17M | 7.51M | 7.79M | 2.27M |
Cash Flow | ||||||
| Free Cash Flow | 82.99M | 90.04M | 35.33M | 54.94M | 50.93M | 44.79M |
| Operating Cash Flow | 82.99M | 90.04M | 59.33M | 54.94M | 50.93M | 44.79M |
| Investing Cash Flow | -70.55M | -111.87M | -136.78M | -106.35M | -10.10M | -58.29M |
| Financing Cash Flow | -66.27M | -5.06M | 133.34M | 43.46M | -47.25M | 23.57M |
Strawberry Fields REIT Inc Technical Analysis
Neutral
13.90
Price Trends
13.74
Negative
13.37
Positive
12.90
Positive
Market Momentum
-0.04
Positive
43.33
Neutral
13.09
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For STRW, the sentiment is Neutral. The current price of 13.9 is above the 20-day moving average (MA) of 13.58, above the 50-day MA of 13.74, and above the 200-day MA of 12.90, indicating a neutral trend. The MACD of -0.04 indicates Positive momentum. The RSI at 43.33 is Neutral, neither overbought nor oversold. The STOCH value of 13.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for STRW.
Strawberry Fields REIT Inc Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% | |
65 Neutral | $742.60M | 20.94 | 72.36% | 4.93% | 18.27% | 6.18% | |
65 Neutral | $410.04M | 21.46 | 4.96% | 12.23% | 5.66% | ― | |
59 Neutral | $537.60M | 27.61 | 12.79% | 7.74% | 0.75% | 7.29% | |
54 Neutral | $1.97B | -7.34 | -16.22% | 0.49% | -1.49% | 7.49% |
* Real Estate Sector Average
STRW
Strawberry Fields REIT Inc
13.40
1.69
14.45%
DHC
Diversified Healthcare Trust
8.13
3.92
93.02%
CHCT
Community Healthcare
14.41
0.96
7.18%
UHT
Universal Health Realty Income
38.65
2.86
7.99%
Strawberry Fields REIT Inc Corporate Events
Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
Strawberry Fields REIT Raises $17 Million in Israeli Offering
Positive
Sep 18, 2026
On September 15, 2026, Strawberry Fields REIT Inc. completed an Israel-only offering of units comprising Series D bonds and Series 2 warrants, raising approximately $17 million, with a related deed of trust executed on September 14, 2026. The bond...
Dividends
Strawberry Fields REIT Declares Third-Quarter Cash Dividend
Positive
Aug 6, 2026
On August 6, 2026, Strawberry Fields REIT, Inc. announced that its board of directors declared a cash dividend of $0.17 per share on its common stock for the third quarter of 2026. The dividend will be paid on September 30, 2026, to stockholders o...
Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Strawberry Fields REIT Secures New $300M Credit Facility
Positive
Aug 6, 2026
Strawberry Fields REIT reported solid operating results for the quarter and six months ended June 30, 2026, highlighted by 100% collection of contractual rents and year-over-year growth in rental income, funds from operations, and net income. Quar...
Business Operations and StrategyPrivate Placements and Financing
Strawberry Fields REIT Secures $300 Million Credit Facility
Positive
Jun 22, 2026
On June 18, 2026, Strawberry Fields REIT, Inc., through Strawberry Fields Realty LP, closed a new corporate credit facility of up to $300 million, consisting of a $100 million term loan and a $200 million revolving credit line with Popular Bank. B...
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.