
DHC Stock Forecast & Price Target
DHC Analyst Ratings
Bulls say
Diversified Healthcare Trust (DHC) exhibits a positive outlook primarily due to expected recovery in its SHOP segment, which is anticipated to generate improved operating results by the second half of 2024. The company is strategically focusing on optimizing its balance sheet through asset sales and refinancing initiatives that are projected to enhance liquidity and reduce debt costs. While annual funds from operations (AFFO) are expected to remain negative until at least 2025, a notable trend towards improvement may lead to a break-even point by 2026, underscoring a cautiously optimistic financial trajectory.
Bears say
Diversified Healthcare Trust faces significant risks stemming from general economic and regulatory trends, which could adversely affect the profitability of healthcare providers and impede the company's operational effectiveness in the evolving seniors housing market. The company's health is further compromised by an elevated net debt to EBITDA ratio of 10.2x, indicating high leverage that may constrain financial flexibility and resource allocation for necessary capital expenditure projects. Additionally, the recent transition of operators at approximately 50% of its senior housing communities may hinder the recovery of the SHOP segment, making it challenging for the company to navigate uncertainties moving forward.
This aggregate rating is based on analysts' research of Diversified Healthcare Trust and is not a guaranteed prediction by Public.com or investment advice.
DHC Analyst Forecast & Price Prediction
Start investing in DHC
Order type
Buy in
Order amount
Est. shares
0 shares