Cantor Fitzgerald initiates Ventas stock with Overweight rating on senior housing growth

Published 01/10/2025, 10:52
Cantor Fitzgerald initiates Ventas stock with Overweight rating on senior housing growth

Investing.com - Cantor Fitzgerald initiated coverage on Ventas (NYSE:VTR) with an Overweight rating and a $77.00 price target, representing 11.6% upside from current levels. The stock, currently trading near its 52-week high of $71.36, has delivered a solid YTD return of 21.45%. According to InvestingPro analysis, Ventas is currently trading above its Fair Value.

The research firm based its positive outlook on Ventas’s strong position in the Senior Housing sector, particularly its Senior Housing Operating Properties (SHOP) segment, which combines internal and external growth potential with post-pandemic occupancy recovery.

Cantor Fitzgerald highlighted demographic tailwinds from an aging population as a key advantage for Ventas, noting the company isn’t constrained by reimbursement regulation growth ceilings that affect other healthcare real estate segments.

The firm pointed to Ventas’s mid-teens same-store NOI growth in its SHOP portfolio as evidence of strong performance in this segment.

Ventas plans to complete $2 billion of SHOP investments during 2025, which Cantor Fitzgerald characterized as "a less-expensive alternative versus WELL to gain access to a large SHOP exposure."

In other recent news, Ventas Inc . reported better-than-expected earnings for the second quarter of 2025. The company achieved an EPS of $0.15, surpassing the forecast of $0.14, and revenue reached $1.42 billion, exceeding the anticipated $1.37 billion. Additionally, Ventas announced a quarterly dividend of $0.48 per common share, to be paid on October 16, 2025, to stockholders of record as of September 30, 2025. UBS initiated coverage on Ventas with a Neutral rating and a price target of $73.00. The investment bank noted that the strong growth in Ventas’s senior housing operating portfolio and adjusted funds from operations are already reflected in the current share price. These developments highlight Ventas’s recent financial performance and strategic decisions.

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