Omega Healthcare Investors, Inc. (NYSE:OHI) Given Consensus Rating of "Hold" by Brokerages

Key Points

• Analysts maintain a “Hold” consensus on Omega Healthcare Investors, with two sell, seven hold and six buy ratings. The average 12-month price target is $49.21, modestly above the reported $46.81 share price.
• Omega reported strong quarterly results, posting $1.19 in EPS versus the $0.51 consensus estimate and $328.25 million in revenue, up 16.2% year over year.
• The REIT raised its quarterly dividend to $0.68 per share, equivalent to a 5.8% annualized yield, though its payout ratio remains high at 97.14%.

Shares of Omega Healthcare Investors, Inc. (NYSE:OHI - Get Free Report) have earned an average recommendation of "Hold" from the fifteen brokerages that are covering the stock, Marketbeat.com reports. Two investment analysts have rated the stock with a sell rating, seven have issued a hold rating and six have assigned a buy rating to the company. The average 1 year price target among analysts that have issued a report on the stock in the last year is $49.2143.

OHI has been the subject of a number of research analyst reports. Barclays initiated coverage on shares of Omega Healthcare Investors in a research report on Tuesday, July 7th. They set an "underweight" rating and a $51.00 price objective for the company. Wells Fargo & Company lifted their target price on shares of Omega Healthcare Investors from $47.00 to $49.00 and gave the company an "equal weight" rating in a research report on Monday, June 1st. BMO Capital Markets restated a "market perform" rating and set a $52.00 price target on shares of Omega Healthcare Investors in a research report on Monday, May 4th. Weiss Ratings raised shares of Omega Healthcare Investors from a "buy (b)" rating to a "buy (b+)" rating in a research note on Tuesday, June 30th. Finally, Scotiabank cut their price objective on Omega Healthcare Investors from $50.00 to $47.00 and set a "sector perform" rating for the company in a research note on Thursday, June 18th.

Omega Healthcare Investors Price Performance

Omega Healthcare Investors stock opened at $46.81 on Friday. The stock has a market capitalization of $14.18 billion, a PE ratio of 16.72, a price-to-earnings-growth ratio of 1.90 and a beta of 0.57. Omega Healthcare Investors has a 12 month low of $39.26 and a 12 month high of $52.39. The business has a 50 day simple moving average of $48.16 and a 200-day simple moving average of $47.00.

Omega Healthcare Investors (NYSE:OHI - Get Free Report) last announced its earnings results on Wednesday, July 29th. The real estate investment trust reported $1.19 earnings per share for the quarter, topping the consensus estimate of $0.51 by $0.68. Omega Healthcare Investors had a return on equity of 15.76% and a net margin of 66.96%.The business had revenue of $328.25 million during the quarter, compared to the consensus estimate of $266.97 million. During the same period in the prior year, the company posted $0.77 EPS. The business's quarterly revenue was up 16.2% on a year-over-year basis. Omega Healthcare Investors has set its FY 2026 guidance at 3.220-3.260 EPS. On average, equities research analysts anticipate that Omega Healthcare Investors will post 3.12 EPS for the current fiscal year.

Omega Healthcare Investors Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, August 14th. Investors of record on Monday, August 3rd were given a dividend of $0.68 per share. The ex-dividend date was Monday, August 3rd. This is a positive change from Omega Healthcare Investors's previous quarterly dividend of $0.67. This represents a $2.72 annualized dividend and a dividend yield of 5.8%. Omega Healthcare Investors's dividend payout ratio (DPR) is presently 97.14%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Midwest Professional Planners LTD. grew its holdings in shares of Omega Healthcare Investors by 5.1% during the second quarter. Midwest Professional Planners LTD. now owns 47,546 shares of the real estate investment trust's stock worth $2,267,000 after buying an additional 2,318 shares in the last quarter. Triumph Capital Management boosted its position in Omega Healthcare Investors by 3.7% during the second quarter. Triumph Capital Management now owns 8,614 shares of the real estate investment trust's stock worth $411,000 after acquiring an additional 305 shares during the last quarter. Proficio Capital Partners LLC acquired a new position in Omega Healthcare Investors during the second quarter worth about $336,000. BTG Pactual Asset Management US LLC purchased a new stake in Omega Healthcare Investors during the 2nd quarter valued at about $549,000. Finally, Two Sigma Securities LLC raised its holdings in Omega Healthcare Investors by 46.9% in the 2nd quarter. Two Sigma Securities LLC now owns 7,958 shares of the real estate investment trust's stock valued at $379,000 after acquiring an additional 2,542 shares during the last quarter. Hedge funds and other institutional investors own 65.25% of the company's stock.

Omega Healthcare Investors Company Profile

Omega Healthcare Investors, Inc is a real estate investment trust (REIT) that specializes in the ownership and management of healthcare-related facilities. The company's core business involves acquiring and leasing long-term care properties, including skilled nursing facilities and assisted living communities, under net lease agreements. Its portfolio is designed to provide stable, inflation-protected cash flows from operators responsible for day-to-day property management.

Founded in 1992 and headquartered in Hunt Valley, Maryland, Omega Healthcare Investors has grown its holdings to encompass hundreds of facilities across the United States, with a smaller presence in select international markets.

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