Diversified Healthcare Trust (NASDAQ:DHC) Sets New 1-Year High - Still a Buy?

Key Points

• Diversified Healthcare Trust's share price hit a new 52-week high at $4.65, closing at $4.57 with a trading volume of 122,956 shares.
• B. Riley increased their target price for the stock from $4.50 to $5.50 and maintained a "buy" rating, differing from one analyst's "sell" rating.
• The company reported a negative net margin of 18.83% and its most recent quarterly earnings matched analysts' expectations at $0.08 per share.

Shares of Diversified Healthcare Trust (NASDAQ:DHC - Get Free Report) hit a new 52-week high during trading on Monday . The stock traded as high as $4.65 and last traded at $4.57, with a volume of 122956 shares trading hands. The stock had previously closed at $4.58.

Analysts Set New Price Targets

Separately, B. Riley upped their target price on shares of Diversified Healthcare Trust from $4.50 to $5.50 and gave the stock a "buy" rating in a report on Wednesday, September 17th. One investment analyst has rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Hold" and an average price target of $4.25.

Diversified Healthcare Trust Stock Performance

The company has a 50-day simple moving average of $3.76 and a 200-day simple moving average of $3.20. The company has a debt-to-equity ratio of 1.42, a quick ratio of 6.35 and a current ratio of 6.35. The stock has a market cap of $1.11 billion, a P/E ratio of -3.85 and a beta of 2.62.

Diversified Healthcare Trust (NASDAQ:DHC - Get Free Report) last issued its quarterly earnings results on Monday, August 4th. The real estate investment trust reported $0.08 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.08. The business had revenue of $382.71 million for the quarter, compared to the consensus estimate of $382.74 million. Diversified Healthcare Trust had a negative net margin of 18.83% and a negative return on equity of 14.69%.

Diversified Healthcare Trust Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, August 14th. Stockholders of record on Monday, July 21st were paid a dividend of $0.01 per share. This represents a $0.04 annualized dividend and a dividend yield of 0.9%. The ex-dividend date of this dividend was Monday, July 21st. Diversified Healthcare Trust's dividend payout ratio is -3.36%.

Institutional Investors Weigh In On Diversified Healthcare Trust

Hedge funds and other institutional investors have recently made changes to their positions in the company. Sumitomo Mitsui Trust Group Inc. increased its stake in shares of Diversified Healthcare Trust by 16.7% in the 1st quarter. Sumitomo Mitsui Trust Group Inc. now owns 262,674 shares of the real estate investment trust's stock valued at $630,000 after buying an additional 37,493 shares during the period. Bank of America Corp DE raised its holdings in Diversified Healthcare Trust by 56.9% during the 4th quarter. Bank of America Corp DE now owns 211,711 shares of the real estate investment trust's stock worth $487,000 after purchasing an additional 76,820 shares during the last quarter. BNP Paribas Financial Markets bought a new stake in Diversified Healthcare Trust during the 4th quarter worth about $65,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its holdings in Diversified Healthcare Trust by 41.5% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 384,477 shares of the real estate investment trust's stock worth $884,000 after purchasing an additional 112,701 shares during the last quarter. Finally, Teacher Retirement System of Texas bought a new stake in Diversified Healthcare Trust during the 1st quarter worth about $59,000. 75.98% of the stock is owned by institutional investors and hedge funds.

About Diversified Healthcare Trust

Diversified Healthcare Trust is a real estate investment trust, which engages in the ownership of senior living communities, medical office buildings, and wellness centers. It operates through the following segments: Office Portfolio, Senior Housing Operating Portfolio (SHOP), and Non-Segment. The Office Portfolio segment consists of medical office properties leased to medical providers and other medical related businesses, as well as life science properties leased to biotech laboratories and other similar tenants.