What Analysts Are Saying About CareTrust REIT Stock

Ratings for CareTrust REIT CTRE were provided by 4 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have set 12-month price targets for CareTrust REIT, revealing an average target of $33.25, a high estimate of $34.00, and a low estimate of $31.00. Marking an increase of 15.65%, the current average surpasses the previous average price target of $28.75.

Understanding Analyst Ratings: A Comprehensive Breakdown

A clear picture of CareTrust REIT's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to CareTrust REIT. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of CareTrust REIT compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of CareTrust REIT's stock. This examination reveals shifts in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of CareTrust REIT's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on CareTrust REIT analyst ratings.

Discovering CareTrust REIT: A Closer Look

CareTrust REIT Inc is a self-administered, publicly-traded REIT engaged in the ownership, acquisition, financing, development and leasing of skilled nursing, seniors housing and other healthcare-related properties. The Company has one reportable segment consisting of investments in healthcare-related real estate assets. It generates revenues by leasing healthcare-related properties to healthcare operators in triple-net lease arrangements. The Company generate revenues by leasing healthcare-related properties to healthcare operators in triple-net lease arrangements, under which the tenant is solely responsible for the costs related to the property (including property taxes, insurance, maintenance and repair costs and capital expenditures).

Breaking Down CareTrust REIT's Financial Performance

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining CareTrust REIT's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 16.05% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Real Estate sector.

Net Margin: CareTrust REIT's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 19.24%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 0.59%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): CareTrust REIT's ROA excels beyond industry benchmarks, reaching 0.42%. This signifies efficient management of assets and strong financial health.

Debt Management: With a below-average debt-to-equity ratio of 0.35, CareTrust REIT adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Significance of Analyst Ratings Explained

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.