3 Green Flags and 1 Red Flag for Medical Properties Trust
Medical Properties Trust (NYSE: MPW) is one of the largest healthcare real estate investment trusts (REITS). It owns 437 properties, which it leases to mostly acute-care hospitals, totaling roughly 43,000 licensed hospital beds across 54 companies in the U.S., the U.K., Switzerland, Germany, Spain, Finland, Colombia, Italy, and Portugal.
The REIT has seen its shares plummet this year by more than 55%. Some of the company's tenants have struggled to pay rent, and with declining funds from operations (FFO), the company trimmed its dividend by nearly half this summer.
Healthcare REITs are considered a good growth option because spending on healthcare is expected to continue to rise due to aging populations. However, one problem all REITs are fighting right now is the impact of high interest rates, and Medical Properties Trust hasn't been immune from that.
Source Fool.com
