Why Medical Property Trust's Stock Crashed 55% in 2023
Shares of Medical Properties Trust (NYSE: MPW) plummeted 55.9% in 2023, according to data from S&P Global Market Intelligence. The real estate investment trust (REIT) battled several headwinds last year, including financially challenged tenants and rising interest rates. Those issues forced the hospital owner to slash its dividend.
Unfortunately, the healthcare REIT's headwinds haven't gone away this year, which has put additional pressure on its stock price.
Two of Medical Properties Trust's top tenants (Steward Health Care and Prospect Medical Holdings) are experiencing financial challenges. Because of that, they've been unable to make their full contractual rental payments. That led the healthcare REIT to intervene by providing them with additional financial assistance while also working to reduce its exposure to both companies.
Source Fool.com
