Osaic Holdings Inc. has raised its holdings in Welltower Inc. (NYSE: WELL) by 18.8% during the second quarter of 2023. According to its recent Form 13F filing with the Securities and Exchange Commission, Osaic now owns 76,869 shares of the real estate investment trust (REIT) after acquiring an additional 12,146 shares during this period. The value of Osaic’s holdings in Welltower reached approximately $11.8 million as of the latest filing.
Several large institutional investors have also made significant moves regarding Welltower shares recently. Notably, Norges Bank acquired a new stake valued at approximately $4.9 billion during the same quarter. Additionally, Price T Rowe Associates Inc. increased its stake in Welltower by 41.6% in the first quarter, bringing its total holdings to 8,923,852 shares valued at about $1.37 billion. State Street Corp. boosted its holdings by 4.6%, now owning 39,616,289 shares worth approximately $6.09 billion after purchasing an additional 1,740,196 shares. Other investors, such as CBRE Investment Management and Ameriprise Financial, also expanded their positions significantly.
As institutional investors and hedge funds collectively own 94.8% of Welltower’s stock, analysts have provided various perspectives on the company’s market performance. KeyCorp raised its price target on Welltower shares from $150.00 to $200.00, maintaining an “overweight” rating. In contrast, JPMorgan Chase & Co. reaffirmed a “neutral” rating with a price target of $205.00. Other firms, including Raymond James Financial and Wells Fargo & Company, have also issued favorable ratings, with Wells Fargo increasing its target to $218.00.
Performance and Financial Outlook
On October 27, 2023, Welltower reported its quarterly earnings, revealing earnings per share (EPS) of $1.34, which surpassed analysts’ expectations of $1.30. The REIT generated revenue of $2.69 billion for the quarter, slightly below estimates of $2.70 billion, but reflecting a significant year-over-year increase of 30.7%. Welltower has projected its fiscal year 2025 EPS guidance in the range of $5.240 to $5.300.
The stock opened at $186.23 on Friday, with a market capitalization of $127.82 billion. Key financial metrics include a price-to-earnings (P/E) ratio of 128.44 and a beta of 0.84. The company has experienced a 12-month low of $123.11 and a high of $209.05. Its financial health is further demonstrated by a debt-to-equity ratio of 0.43 and a strong current ratio of 5.47.
Dividend Announcement
In addition to its investment activities, Welltower recently announced a quarterly dividend of $0.74, paid on November 20, 2023. This dividend represents an annualized payout of $2.96 and a yield of 1.6%. The ex-dividend date was set for November 10, 2023. Notably, Welltower’s dividend payout ratio stands at 204.14%, reflecting the company’s commitment to returning value to its shareholders.
Welltower Inc. operates as a REIT focused on healthcare infrastructure, managing a diversified portfolio that includes senior housing, long-term care communities, and outpatient medical facilities. As the healthcare sector continues to evolve, Welltower remains positioned to adapt and thrive, making it an appealing option for investors seeking exposure to real estate and healthcare industries.
