Financial Analysis: Global Medical REIT (GMRE) vs. Its Competitors

Global Medical REIT (NYSE: GMRE) is one of 23 public companies in the “Healthcare REITs” industry, but how does it weigh in compared to its peers? We will compare Global Medical REIT to related companies based on the strength of its analyst recommendations, earnings, dividends, institutional ownership, profitability, valuation and risk.

Analyst Ratings

This is a summary of recent ratings and price targets for Global Medical REIT and its peers, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Global Medical REIT 0 1 5 0 2.83
Global Medical REIT Competitors 144 761 683 12 2.35

Global Medical REIT currently has a consensus target price of $10.75, indicating a potential upside of 29.83%. As a group, “Healthcare REITs” companies have a potential upside of 31.47%. Given Global Medical REIT’s peers higher possible upside, analysts clearly believe Global Medical REIT has less favorable growth aspects than its peers.

Profitability

This table compares Global Medical REIT and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Global Medical REIT -19.98% -2.86% -1.39%
Global Medical REIT Competitors 35.60% 7.69% 3.77%

Institutional and Insider Ownership

41.0% of Global Medical REIT shares are owned by institutional investors. Comparatively, 82.7% of shares of all “Healthcare REITs” companies are owned by institutional investors. 16.5% of Global Medical REIT shares are owned by insiders. Comparatively, 6.2% of shares of all “Healthcare REITs” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Global Medical REIT and its peers revenue, earnings per share and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Global Medical REIT $8.21 million -$6.35 million -30.67
Global Medical REIT Competitors $812.10 million $208.81 million 70.20

Global Medical REIT’s peers have higher revenue and earnings than Global Medical REIT. Global Medical REIT is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

Global Medical REIT has a beta of -0.18, indicating that its share price is 118% less volatile than the S&P 500. Comparatively, Global Medical REIT’s peers have a beta of 0.37, indicating that their average share price is 63% less volatile than the S&P 500.

Dividends

Global Medical REIT pays an annual dividend of $0.80 per share and has a dividend yield of 9.7%. Global Medical REIT pays out -296.3% of its earnings in the form of a dividend. As a group, “Healthcare REITs” companies pay a dividend yield of 5.6% and pay out 143.3% of their earnings in the form of a dividend. Global Medical REIT is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Summary

Global Medical REIT peers beat Global Medical REIT on 10 of the 15 factors compared.

About Global Medical REIT

Global Medical REIT Inc. is engaged primarily in the acquisition of licensed, purpose-built healthcare facilities and the leasing of these facilities to clinical operators with market share. The Company’s strategy is to produce increasing, reliable rental revenue by expanding its portfolio, and leasing its healthcare facilities to market operators under long-term triple-net leases.

Receive News & Ratings for Global Medical REIT Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Global Medical REIT and related companies with MarketBeat.com's FREE daily email newsletter.

Comments

Leave a Reply


share news on Facebook
tweet this investment news
share on linkedin
share on StockTwits
share on Google Plus
share on reddit