HR - Healthcare Realty: An 8.9% Dividend Yield That Shouldn't Be Cut
2024-04-22 04:44:02 ET
Summary
- Healthcare Realty Trust has maintained a quarterly cash dividend at $0.31 per share to drive an 8.8% dividend yield.
- The REIT owns a portfolio of Class A medical office buildings in clusters on or around hospital campuses.
- HR is currently trading for 9x its annualized 2023 fourth-quarter NFFO, roughly 30% below its peer group median.
I've been buying Healthcare Realty Trust ( HR ) in recent weeks as REITs pulled back in response to sticky inflation numbers and comments from the Fed that they're willing to keep base interest rates higher for longer. HR is an internally managed medical office building ("MOB") REIT with a 688-property portfolio at the end of its fiscal 2023 fourth quarter. This is spread across 40.3 million square feet and 35 states. HR focuses on Class A MOBs concentrated in medical clusters of fast-growing Sun Belt markets. Dallas and Houston form its two top locations at 8.9% and 4.6% of its portfolio respectively....
Healthcare Realty: An 8.9% Dividend Yield That Shouldn't Be Cut