🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

CareTrust REIT sets quarterly dividend at $0.29 per share

EditorNatashya Angelica
Published 06/18/2024, 04:48 AM
CTRE
-

SAN CLEMENTE, Calif. - CareTrust REIT, Inc. (NYSE:CTRE), a real estate investment trust (REIT) focused on healthcare-related properties, has declared a quarterly dividend of $0.29 per common share. The dividend is scheduled to be distributed to shareholders of record as of the close of business on June 28, 2024, with the payment expected on or around July 15, 2024.

This announcement comes as part of the company's ongoing strategy to provide returns to its investors through regular dividend payments. CareTrust REIT specializes in the acquisition, development, and leasing of properties for skilled nursing, senior housing, and other healthcare services across the United States.

The company's portfolio includes a mix of long-term net-leased properties and is actively seeking growth opportunities both organically and through external channels. CareTrust REIT's approach aims to create a diverse and robust portfolio that supports the evolving needs of the healthcare sector while generating value for shareholders.

Investors typically look to REITs like CareTrust for potential income generation, as these companies are required to pay out at least 90% of their taxable income to shareholders in the form of dividends. Dividends can serve as a steady source of income, particularly in times of market volatility.

The declaration of the dividend is in line with CareTrust REIT's previous distributions to its shareholders and reflects the company's commitment to maintaining its investment appeal. By focusing on healthcare-related real estate, CareTrust positions itself in a market that may offer stability due to the essential nature of healthcare services.

The information regarding the dividend declaration is based on a press release statement from CareTrust REIT, Inc. Investors interested in CareTrust REIT's financial strategies and dividend policies can find additional details through the company's communications and investor relations outreach.

In other recent news, CareTrust REIT, Inc. has been making significant strides in its growth trajectory. The company has recently closed on $205 million in new investments with an average yield of 9.4% for acquisitions and 13.6% for loans. Furthermore, CareTrust REIT has a robust pipeline worth around $260 million, consisting of a mix of acquisitions and loans.

RBC Capital Markets and KeyBanc have both raised their price targets for CareTrust REIT to $27.00, reflecting their confidence in the company's strong acquisition pipeline, solid balance sheet, and favorable cost of capital. These adjustments followed the company's first-quarter 2024 results, which underscored its strategic positioning.

CareTrust REIT has also expanded its portfolio with the acquisition of a skilled nursing facility portfolio in the Southeastern U.S. for approximately $80.9 million. This investment, funded by cash on hand, marked the beginning of a new operator relationship with YAD Healthcare.

Analysts have noted potential uncertainties surrounding regulatory changes, such as the Centers for Medicare & Medicaid Services (CMS) minimum staffing rule. However, CareTrust REIT's management is recognized for its experience and proactive approach in navigating these regulatory environments.

Additionally, CareTrust REIT has been commended for its large and accretive acquisition pipeline, valued at approximately $250 million. The company's aggressive approach is supported by its flexible balance sheet, low leverage, and significant cash reserves.

InvestingPro Insights

CareTrust REIT, Inc. (NYSE:CTRE) continues to demonstrate a commitment to shareholder returns, as evidenced by its recent dividend declaration. In line with this, an important InvestingPro Tip notes that the company has raised its dividend for 8 consecutive years, which could be a sign of its stable financial health and a positive signal for income-focused investors.

Moreover, the company is trading near its 52-week high, with a price 95.27% of this peak, suggesting investor confidence in its market position and performance. This aligns with another InvestingPro Tip highlighting that analysts predict the company will be profitable this year.

From a financial perspective, the adjusted P/E ratio for the last twelve months as of Q1 2024 stands at 34.96. While this indicates a high earnings multiple, it may reflect the market's expectations for future growth, especially considering the company's revenue growth of 14.97% during the same period.

Investors evaluating CareTrust REIT's investment potential can find additional insights and tips on the company's profile at https://www.investing.com/pro/CTRE. For those seeking to delve deeper into CareTrust REIT's financials and forecasts, remember to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. There are 9 more InvestingPro Tips available on the site that could further inform investment decisions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.