Healthcare REITs Down On Brookdale, HCP Guidance

Healthcare REITs were trading lower on Tuesday after HCP, Inc. HCP and Brookdale Senior Living, Inc. BKD issued troubling guidance.

HCP guided its fiscal 2016 FFO (Funds From Operations) per share to be in a range of $2.74 to $2.80. HCP's FFO for the full fiscal year 2015 was $2.72 per share.

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Brookdale Senior also issued 2016 guidance, and the company expects its full year fiscal 2016 CFFO to be in a range of $2.45 to $2.55 per share. The company's estimates fell short of the $2.62 per share Wall Street analysts were already estimating.

Shares of HCP were lower by more than 15 percent on Tuesday and hit a new 52-week low of $28.69, while shares of Brookdale Senior Living were also lower by around 15 percent and hit a new 52-week low of $11.28.

A source familiar with the matter told Benzinga that both HCP and Brookdale's poor guidance were pushing healthcare REITs lower on Tuesday.