| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 30 | 24.0x | 17.8x | Bottom tier | |
Growth | 81 | 53.0% | 7.1% | Top tier | |
Quality | 66 | 8.9% | 4.5% | Top tier | |
Safety | 77 | 2.1x | 2.6x | Top tier | |
Capital Return | 63 | 3.75% | 2.12% | Around median | |
Momentum | 61 | 19.8% | 2.9% | Around median | |
Sentiment | 61 | 5 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
CareTrust REIT is a real estate investment company in the healthcare sector, and its business revolves around three growth drivers: skilled nursing facilities and senior housing under triple-net leases in the United States, care homes in the United Kingdom, and the SHOP portfolio, in which the company assumes responsibility for the properties’ operating performance in partnership with operators. It also provides real estate loans to skilled nursing operators, typically alongside acquisitions or as a precursor to subsequent real estate transactions, while long-term leases support revenue with annual inflation-linked escalators of 2.5% under the fiscal year 2026 guidance assumptions.
In Q2 fiscal year 2026, CareTrust REIT reported revenue of $161.3 million and net income of $89.0 million, equivalent to a calculated net income margin of approximately 55.2% and earnings per share of $0.38. Revenue increased sequentially from $142.8 million in Q1 fiscal year 2026, while net income rose from $80.2 million; figures for the twelve months ended in 2026 were revenue of $571.4 million, net income of $355.4 million, and earnings per share of approximately $1.52.
Adjusted metrics showed stronger growth in Q2 fiscal year 2026, with adjusted FFO rising 44% year over year to $119.7 million and adjusted FAD increasing 43% to $118.5 million. Both adjusted FFO and FAD were $0.51 per share, up approximately 19%, while fiscal year 2026 investments of approximately $1.5 billion were allocated across $735 million in skilled nursing and senior housing under triple-net leases in the United States, $397 million in British care homes, $240 million in loans, and $81 million in SHOP. This is an allocation of invested capital, not a breakdown of segment revenue.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $44.5, within a relatively narrow range of $43 to $47, and the stock carries a consensus “Buy” rating. The average target is slightly above the 52-week range high of $43.62, while the highest target exceeds that high and the lowest target sits slightly below it; a price-to-earnings ratio is not available in the provided data for evaluating the stock on that basis. This consensus reflects expectations of continued FFO growth, but pressure on SHOP yields, large equity issuances, and execution risks associated with fiscal year 2026 investments remain factors that could limit the achievement of analyst targets.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
The company closed approximately $1.5 billion of investments in fiscal year 2026 through August 7, 2026, including approximately $900 million in Q2 fiscal year 2026 at a blended stabilized yield of 8.9%. The amount was allocated across approximately $735 million in skilled nursing and senior housing in the United States, $397 million in British care homes, $240 million in loans, and $81 million in SHOP. The announced transaction pipeline also totals approximately $540 million, excluding large portfolios still under review. This activity was reflected in the increase in fiscal year 2026 adjusted FFO per-share guidance to $2.03–$2.06.
Revenue was $161.3 million, net income was $89.0 million, and earnings per share were $0.38 in Q2 fiscal year 2026. This equates to a calculated net income margin of approximately 55.2%, while the provided data did not include a gross profit figure. Adjusted FFO increased 44% year over year to $119.7 million, and adjusted FAD rose 43% to $118.5 million. On a per-share basis, both were $0.51, up approximately 19% from the comparable quarter.
Under triple-net leases, CareTrust leases skilled nursing and senior housing properties to operators under long-term agreements, and the fiscal year 2026 guidance includes inflation-linked rent escalators of 2.5%. In SHOP, however, the company assumes responsibility for the property’s operating performance in partnership with a manager or operator, giving it greater direct exposure to growth in rates, expenses, and occupancy. The company added two communities valued at $65 million to SHOP after June 30, 2026. It aims to increase the margins of these two assets from the low thirties to the high thirties over two to three years.
The company’s liquidity was approximately $1.4 billion on August 7, 2026, including approximately $90 million in cash, $605 million available under the revolving credit facility, and $671.4 million from unsettled forward equity agreements. It also had approximately $785.8 million of available capacity under its at-the-market program. In Q2 fiscal year 2026, it received $364 million from settling existing forward agreements and sold 14.4 million forward shares for $580.5 million, then sold an additional 2.2 million shares after quarter-end for $90.6 million. The net debt to annualized adjusted EBITDA ratio of 1.0 times reduces borrowing pressure, but the intensity of equity issuance increases dilution risk.
Management explained on August 7, 2026, that competition for SHOP assets is intense and that the entry of private-sector investors is putting pressure on capitalization rates. Some stabilized portfolios with occupancy in the mid-nineties were priced at capitalization rates in the mid-5% range or lower, compared with skilled nursing opportunities offering yields in the 9% range or high-8% range. Therefore, the announced $540 million transaction pipeline does not include any SHOP investments, despite the review of one or two large portfolios outside the announced pipeline. Management says it would rather lose a transaction on price than exceed its targeted internal rate of return or risk-adjusted return.
The guidance assumes no new investments, loans, or dispositions after the activity recorded through August 7, 2026, and no additional debt or equity issuance after that date. It also assumes loan repayments of $147 million during fiscal year 2026, of which the company had received approximately $104 million, and no material change in the British pound exchange rate against the U.S. dollar. The guidance was also based on a diluted weighted average of 233 million shares, making the timing of forward equity settlements and capital redeployment consequential to the per-share result. The exercise of asset purchase options by tenants or delays in licensing United Kingdom transactions could affect the timing of income and reinvestment of proceeds.
