Medical Properties Trust (NYSE:MPT) Sets New 52-Week Low - Should You Sell?

Key Points

• Medical Properties Trust shares fell to a new 52-week low of $3.56, trading down 1.6% with heavy volume. The stock is well below its 50-day moving average of $4.34.
• Analyst sentiment is broadly negative: RBC and Wells Fargo cut their price targets, while the consensus rating is “Sell” with a $4.15 target price.
• The company maintains a $0.09 quarterly dividend, equivalent to a 10.1% annualized yield, but its payout ratio is deeply negative at -600%, reflecting financial sustainability concerns despite quarterly revenue growth of 7.9%.

Shares of Medical Properties Trust, Inc. (NYSE:MPT - Get Free Report) hit a new 52-week low on Tuesday . The company traded as low as $3.56 and last traded at $3.58, with a volume of 11407524 shares trading hands. The stock had previously closed at $3.64.

Analyst Ratings Changes

Several equities research analysts have issued reports on MPT shares. Royal Bank Of Canada lowered their target price on shares of Medical Properties Trust from $5.00 to $4.50 and set a "sector perform" rating on the stock in a research note on Thursday, June 18th. Weiss Ratings downgraded shares of Medical Properties Trust from a "sell (d+)" rating to a "sell (d)" rating in a research note on Tuesday, August 18th. Finally, Wells Fargo & Company lowered their price target on shares of Medical Properties Trust from $5.00 to $3.80 and set an "underweight" rating on the stock in a research report on Tuesday, September 1st. One research analyst has rated the stock with a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Sell" and a consensus target price of $4.15.

Medical Properties Trust Trading Down 1.6%

The company has a debt-to-equity ratio of 2.16, a current ratio of 3.12 and a quick ratio of 3.12. The business's fifty day simple moving average is $4.34. The company has a market cap of $2.14 billion, a P/E ratio of -59.67 and a beta of 1.40.

Medical Properties Trust (NYSE:MPT - Get Free Report) last posted its quarterly earnings results on Monday, August 10th. The company reported $0.15 earnings per share for the quarter, meeting the consensus estimate of $0.15. The business had revenue of $259.28 million during the quarter. Medical Properties Trust had a negative net margin of 2.96% and a negative return on equity of 0.66%. Medical Properties Trust's revenue for the quarter was up 7.9% on a year-over-year basis. On average, equities analysts predict that Medical Properties Trust, Inc. will post 0.56 EPS for the current fiscal year.

Medical Properties Trust Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 8th. Investors of record on Thursday, September 10th will be paid a dividend of $0.09 per share. The ex-dividend date of this dividend is Thursday, September 10th. This represents a $0.36 annualized dividend and a yield of 10.1%. Medical Properties Trust's dividend payout ratio is presently -600.00%.

Institutional Trading of Medical Properties Trust

Large investors have recently modified their holdings of the stock. Continuum Advisory LLC acquired a new stake in Medical Properties Trust in the second quarter valued at $31,000. Nykredit A S acquired a new position in shares of Medical Properties Trust during the 2nd quarter valued at about $41,000. OneAscent Family Office LLC purchased a new position in shares of Medical Properties Trust during the 2nd quarter worth about $49,000. Tidal Investments LLC purchased a new position in shares of Medical Properties Trust during the 2nd quarter worth about $49,000. Finally, Greenspring Advisors LLC acquired a new stake in shares of Medical Properties Trust in the second quarter worth approximately $54,000. Hedge funds and other institutional investors own 71.79% of the company's stock.

Medical Properties Trust Company Profile

Medical Properties Trust, Inc NYSE: MPT is a real estate investment trust focused on healthcare facilities. The company acquires, develops, owns and leases properties used by healthcare providers, with an emphasis on hospitals and other facilities that deliver essential medical services.

Medical Properties Trust has historically invested primarily in acute-care hospitals, behavioral health facilities, inpatient rehabilitation hospitals and other specialized healthcare properties. Its real estate is generally leased to hospital and healthcare operators under long-term arrangements, while its investments have also included mortgage loans and other healthcare-related financing.

Founded in 2003 and headquartered in Birmingham, Alabama, Medical Properties Trust has built a portfolio spanning the United States and selected international markets, including the United Kingdom and other parts of Europe.

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