CareTrust REIT, Inc. (NASDAQ:CTRE) to Issue Quarterly Dividend of $0.28

CareTrust REIT, Inc. (NASDAQ:CTRE) declared a quarterly dividend on Tuesday, September 19th, Wall Street Journal reports. Stockholders of record on Friday, September 29th will be given a dividend of 0.28 per share by the real estate investment trust on Friday, October 13th. This represents a $1.12 annualized dividend and a dividend yield of 5.59%. The ex-dividend date of this dividend is Thursday, September 28th.

CareTrust REIT has increased its dividend by an average of 6.9% annually over the last three years and has increased its dividend every year for the last 9 years. CareTrust REIT has a dividend payout ratio of 108.7% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect CareTrust REIT to earn $1.59 per share next year, which means the company should continue to be able to cover its $1.12 annual dividend with an expected future payout ratio of 70.4%.

CareTrust REIT Stock Up 0.5 %

Shares of NASDAQ:CTRE traded up $0.09 on Tuesday, hitting $20.02. 1,213,026 shares of the company’s stock were exchanged, compared to its average volume of 703,377. The firm’s 50-day moving average is $20.27 and its 200 day moving average is $19.72. The company has a market capitalization of $1.99 billion, a PE ratio of 13.99 and a beta of 1.10. CareTrust REIT has a 1-year low of $16.22 and a 1-year high of $21.37. The company has a debt-to-equity ratio of 1.08, a quick ratio of 0.07 and a current ratio of 0.07.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in CTRE. Norges Bank purchased a new position in shares of CareTrust REIT in the 4th quarter worth $24,217,000. Millennium Management LLC raised its position in CareTrust REIT by 405.3% in the fourth quarter. Millennium Management LLC now owns 1,140,243 shares of the real estate investment trust’s stock valued at $21,186,000 after purchasing an additional 914,588 shares during the period. JPMorgan Chase & Co. raised its position in CareTrust REIT by 123.0% in the first quarter. JPMorgan Chase & Co. now owns 1,610,401 shares of the real estate investment trust’s stock valued at $31,531,000 after purchasing an additional 888,167 shares during the period. Balyasny Asset Management L.P. raised its position in CareTrust REIT by 1,029.4% in the first quarter. Balyasny Asset Management L.P. now owns 939,926 shares of the real estate investment trust’s stock valued at $18,404,000 after purchasing an additional 856,702 shares during the period. Finally, State Street Corp raised its position in CareTrust REIT by 12.1% in the first quarter. State Street Corp now owns 5,959,881 shares of the real estate investment trust’s stock valued at $116,638,000 after purchasing an additional 641,444 shares during the period. 92.24% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

CTRE has been the subject of several analyst reports. BMO Capital Markets raised CareTrust REIT from a “market perform” rating to an “outperform” rating and upped their price objective for the company from $23.50 to $24.00 in a research note on Wednesday, August 16th. StockNews.com initiated coverage on CareTrust REIT in a research note on Thursday, August 17th. They set a “hold” rating for the company. Berenberg Bank initiated coverage on CareTrust REIT in a research note on Thursday, July 27th. They set a “buy” rating and a $23.00 price objective for the company. TheStreet downgraded CareTrust REIT from a “b-” rating to a “c” rating in a research note on Friday, August 4th. Finally, Royal Bank of Canada upgraded CareTrust REIT from a “sector perform” rating to an “outperform” rating and boosted their target price for the stock from $19.00 to $23.00 in a research report on Monday, September 11th. Three analysts have rated the stock with a hold rating, four have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, CareTrust REIT currently has a consensus rating of “Moderate Buy” and an average target price of $22.00.

CareTrust REIT Company Profile

CareTrust REIT, Inc is a self-administered, publicly-traded real estate investment trust engaged in the ownership, acquisition, development and leasing of skilled nursing, seniors housing and other healthcare-related properties. With a nationwide portfolio of long-term net-leased properties, and a growing portfolio of quality operators leasing them, CareTrust REIT is pursuing both external and organic growth opportunities across the United States.