Diversified Healthcare Trust (NASDAQ:DHC) Reaches New 1-Year High - Here's What Happened

Key Points

• Shares of Diversified Healthcare Trust (DHC) hit a new 52-week high, trading as high as $7.77 (last $7.6050), while analysts are mixed — the consensus is a Hold with an average target of $8.00 (two Buys, two Holds, one Sell).
• The REIT missed quarterly earnings, reporting EPS of ($0.09) versus $0.12 expected, and shows negative profitability metrics (negative ROE and net margin) with a market cap of $1.83B and a negative P/E of -6.37.
• Diversified Healthcare Trust announced a small quarterly dividend of $0.01 (annualized $0.04, ~0.5% yield) and has high institutional ownership at about 76%.

Shares of Diversified Healthcare Trust (NASDAQ:DHC - Get Free Report) hit a new 52-week high on Monday . The company traded as high as $7.77 and last traded at $7.6050, with a volume of 621323 shares changing hands. The stock had previously closed at $7.46.

Analysts Set New Price Targets

A number of analysts have recently weighed in on DHC shares. Royal Bank Of Canada boosted their price objective on shares of Diversified Healthcare Trust from $5.00 to $6.00 and gave the stock a "sector perform" rating in a research note on Monday, March 2nd. Maxim Group began coverage on Diversified Healthcare Trust in a research report on Monday. They issued a "buy" rating and a $9.50 price objective for the company. Zacks Research upgraded Diversified Healthcare Trust from a "strong sell" rating to a "hold" rating in a research report on Friday, February 20th. B. Riley Financial upped their target price on shares of Diversified Healthcare Trust from $6.50 to $8.50 and gave the stock a "buy" rating in a report on Tuesday, March 3rd. Finally, Weiss Ratings reiterated a "sell (d-)" rating on shares of Diversified Healthcare Trust in a research report on Monday, April 20th. Two investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company has an average rating of "Hold" and an average target price of $8.00.

Diversified Healthcare Trust Price Performance

The stock has a fifty day moving average of $6.98 and a two-hundred day moving average of $5.68. The company has a current ratio of 2.36, a quick ratio of 2.36 and a debt-to-equity ratio of 1.44. The stock has a market capitalization of $1.83 billion, a price-to-earnings ratio of -6.37 and a beta of 2.35.

Diversified Healthcare Trust (NASDAQ:DHC - Get Free Report) last posted its quarterly earnings data on Monday, February 23rd. The real estate investment trust reported ($0.09) EPS for the quarter, missing analysts' consensus estimates of $0.12 by ($0.21). Diversified Healthcare Trust had a negative return on equity of 15.98% and a negative net margin of 18.59%.The business had revenue of $379.57 million during the quarter, compared to analyst estimates of $392.89 million. As a group, equities research analysts forecast that Diversified Healthcare Trust will post 0.57 earnings per share for the current year.

Diversified Healthcare Trust Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, May 14th. Stockholders of record on Tuesday, April 21st will be given a dividend of $0.01 per share. This represents a $0.04 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date is Tuesday, April 21st. Diversified Healthcare Trust's dividend payout ratio is presently -3.36%.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Raymond James Financial Inc. acquired a new stake in Diversified Healthcare Trust in the second quarter worth about $28,000. CWM LLC raised its position in shares of Diversified Healthcare Trust by 174.5% during the 4th quarter. CWM LLC now owns 6,555 shares of the real estate investment trust's stock valued at $32,000 after acquiring an additional 4,167 shares during the last quarter. Ground Swell Capital LLC acquired a new position in shares of Diversified Healthcare Trust in the 3rd quarter valued at $45,000. Mercer Global Advisors Inc. ADV acquired a new stake in shares of Diversified Healthcare Trust during the fourth quarter worth $49,000. Finally, L2 Asset Management LLC bought a new stake in Diversified Healthcare Trust in the fourth quarter valued at about $49,000. Institutional investors own 75.98% of the company's stock.

Diversified Healthcare Trust Company Profile

Diversified Healthcare Trust is a real estate investment trust (REIT) specializing in the acquisition, ownership and management of healthcare properties across the United States. The company focuses on assets that serve the senior housing and post-acute care sectors, including skilled nursing facilities, assisted living communities, memory care centers and medical office buildings. By partnering with experienced operators, Diversified Healthcare Trust aims to generate stable, long-term cash flows through triple-net leases and percentage rent structures tailored to each property type.

The company's portfolio spans multiple states and encompasses a mix of single-tenant and multi-tenant properties.

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