Diversified Healthcare Trust (NASDAQ:DHC) Reaches New 1-Year High – Still a Buy?

Diversified Healthcare Trust (NASDAQ:DHC) hit a new 52-week high on Thursday . The stock traded as high as $6.19 and last traded at $6.1450, with a volume of 609958 shares changing hands. The stock had previously closed at $6.01.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on DHC. Weiss Ratings reissued a “sell (d-)” rating on shares of Diversified Healthcare Trust in a research report on Wednesday, January 21st. Royal Bank Of Canada raised shares of Diversified Healthcare Trust from an “underperform” rating to a “sector perform” rating and raised their target price for the company from $3.00 to $5.00 in a research note on Thursday, November 13th. B. Riley reaffirmed a “buy” rating and set a $6.50 price target (up from $5.50) on shares of Diversified Healthcare Trust in a research report on Monday, December 15th. Finally, Zacks Research downgraded shares of Diversified Healthcare Trust from a “hold” rating to a “strong sell” rating in a research report on Thursday, January 22nd. One research analyst has rated the stock with a Buy rating, one has given a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Diversified Healthcare Trust presently has an average rating of “Reduce” and an average price target of $5.75.

Diversified Healthcare Trust Stock Performance

The firm has a market cap of $1.50 billion, a PE ratio of -4.24 and a beta of 2.43. The company has a 50 day simple moving average of $5.21 and a 200-day simple moving average of $4.47. The company has a debt-to-equity ratio of 1.61, a current ratio of 16.89 and a quick ratio of 16.89.

Diversified Healthcare Trust (NASDAQ:DHC) last issued its earnings results on Monday, November 3rd. The real estate investment trust reported $0.04 earnings per share for the quarter, missing analysts’ consensus estimates of $0.08 by ($0.04). The business had revenue of $388.71 million during the quarter, compared to analysts’ expectations of $382.10 million. Diversified Healthcare Trust had a negative return on equity of 18.90% and a negative net margin of 22.90%.

Diversified Healthcare Trust Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, February 19th. Shareholders of record on Monday, January 26th will be issued a $0.01 dividend. This represents a $0.04 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend is Monday, January 26th. Diversified Healthcare Trust’s payout ratio is currently -2.74%.

Insider Buying and Selling at Diversified Healthcare Trust

In related news, CEO Christopher J. Bilotto acquired 20,000 shares of the stock in a transaction dated Monday, December 15th. The stock was acquired at an average cost of $4.89 per share, for a total transaction of $97,800.00. Following the completion of the purchase, the chief executive officer owned 266,285 shares of the company’s stock, valued at approximately $1,302,133.65. This represents a 8.12% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 1.37% of the company’s stock.

Institutional Investors Weigh In On Diversified Healthcare Trust

A number of hedge funds have recently added to or reduced their stakes in DHC. Vanguard Group Inc. raised its holdings in Diversified Healthcare Trust by 1.0% during the fourth quarter. Vanguard Group Inc. now owns 19,768,282 shares of the real estate investment trust’s stock worth $95,876,000 after purchasing an additional 205,285 shares during the last quarter. Geode Capital Management LLC lifted its position in shares of Diversified Healthcare Trust by 0.8% during the second quarter. Geode Capital Management LLC now owns 5,847,246 shares of the real estate investment trust’s stock worth $20,936,000 after purchasing an additional 44,759 shares in the last quarter. Carronade Capital Management LP boosted its holdings in Diversified Healthcare Trust by 181.9% in the third quarter. Carronade Capital Management LP now owns 4,561,748 shares of the real estate investment trust’s stock valued at $20,117,000 after purchasing an additional 2,943,300 shares during the last quarter. Goldman Sachs Group Inc. increased its position in shares of Diversified Healthcare Trust by 158.9% in the 1st quarter. Goldman Sachs Group Inc. now owns 3,862,334 shares of the real estate investment trust’s stock worth $9,270,000 after purchasing an additional 2,370,459 shares during the last quarter. Finally, Dimensional Fund Advisors LP lifted its stake in Diversified Healthcare Trust by 8.3% during the third quarter. Dimensional Fund Advisors LP now owns 2,221,248 shares of the real estate investment trust’s stock worth $9,794,000 after purchasing an additional 171,009 shares during the last quarter. Institutional investors and hedge funds own 75.98% of the company’s stock.

About Diversified Healthcare Trust

Diversified Healthcare Trust is a real estate investment trust (REIT) specializing in the acquisition, ownership and management of healthcare properties across the United States. The company focuses on assets that serve the senior housing and post-acute care sectors, including skilled nursing facilities, assisted living communities, memory care centers and medical office buildings. By partnering with experienced operators, Diversified Healthcare Trust aims to generate stable, long-term cash flows through triple-net leases and percentage rent structures tailored to each property type.

The company’s portfolio spans multiple states and encompasses a mix of single-tenant and multi-tenant properties.