Investors Buy Large Volume of Call Options on Medical Properties Trust (NYSE:MPW)

Key Points

• Medical Properties Trust saw a significant surge in call options trading, with **52,662 options** purchased, a **67% increase** compared to the average volume.
• Analyst ratings for the company have been mixed, with **Royal Bank of Canada** and **Wells Fargo** both lowering their price targets to **$4.50** and setting a "sector perform" and "underweight" rating, respectively.
• The company recently announced a **quarterly dividend** of **$0.08 per share**, translating to an annualized dividend yield of **6.5%**.

Medical Properties Trust, Inc. (NYSE:MPW - Get Free Report) was the target of some unusual options trading on Friday. Stock traders acquired 52,662 call options on the company. This represents an increase of approximately 67% compared to the average daily volume of 31,548 call options.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the company. Wall Street Zen lowered Medical Properties Trust from a "hold" rating to a "sell" rating in a research note on Saturday, July 5th. Wells Fargo & Company cut their price target on Medical Properties Trust from $5.00 to $4.50 and set an "underweight" rating for the company in a research note on Wednesday, August 27th. Zacks Research upgraded Medical Properties Trust from a "strong sell" rating to a "hold" rating in a research note on Wednesday, August 20th. Finally, Royal Bank Of Canada reduced their price objective on Medical Properties Trust from $5.00 to $4.50 and set a "sector perform" rating on the stock in a research report on Monday, June 30th. One equities research analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $5.40.

Medical Properties Trust Trading Up 0.1%

MPW traded up $0.01 during trading hours on Monday, reaching $5.02. The company's stock had a trading volume of 7,057,357 shares, compared to its average volume of 9,804,814. Medical Properties Trust has a fifty-two week low of $3.51 and a fifty-two week high of $6.34. The stock has a market cap of $3.01 billion, a PE ratio of 8.08 and a beta of 1.35. The business's 50-day moving average is $4.37 and its 200-day moving average is $4.81. The company has a debt-to-equity ratio of 2.00, a current ratio of 2.76 and a quick ratio of 2.76.

Medical Properties Trust (NYSE:MPW - Get Free Report) last released its quarterly earnings data on Thursday, July 31st. The real estate investment trust reported $0.14 EPS for the quarter, missing analysts' consensus estimates of $0.15 by ($0.01). Medical Properties Trust had a negative net margin of 155.20% and a negative return on equity of 28.80%. The business had revenue of $240.36 million during the quarter, compared to analyst estimates of $231.90 million. During the same quarter in the prior year, the company posted $0.23 earnings per share. The company's revenue was down 9.8% on a year-over-year basis. As a group, equities research analysts predict that Medical Properties Trust will post 0.78 earnings per share 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 9th. Shareholders of record on Thursday, September 11th will be given a $0.08 dividend. The ex-dividend date of this dividend is Thursday, September 11th. This represents a $0.32 dividend on an annualized basis and a yield of 6.4%. Medical Properties Trust's payout ratio is presently -13.39%.

Institutional Trading of Medical Properties Trust

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Versant Capital Management Inc raised its position in Medical Properties Trust by 98.1% in the first quarter. Versant Capital Management Inc now owns 6,180 shares of the real estate investment trust's stock valued at $37,000 after purchasing an additional 3,060 shares during the period. GF Fund Management CO. LTD. purchased a new stake in Medical Properties Trust in the fourth quarter valued at approximately $41,000. Itau Unibanco Holding S.A. purchased a new stake in Medical Properties Trust in the first quarter valued at approximately $41,000. Brighton Jones LLC purchased a new stake in Medical Properties Trust in the second quarter valued at approximately $44,000. Finally, Focus Partners Advisor Solutions LLC purchased a new stake in Medical Properties Trust in the second quarter valued at approximately $44,000. Hedge funds and other institutional investors own 71.79% of the company's stock.

About Medical Properties Trust

Medical Properties Trust, Inc is a self-advised real estate investment trust formed in 2003 to acquire and develop net-leased hospital facilities. From its inception in Birmingham, Alabama, the Company has grown to become one of the world's largest owners of hospital real estate with 441 facilities and approximately 44,000 licensed beds as of September 30, 2023.