Citizens JMP reiterates Market Perform rating on Global Medical REIT stock

Investing.com - Citizens JMP analyst Aaron Hecht has reiterated a Market Perform rating on Global Medical REIT (NYSE:GMRE), a $454 million market cap healthcare REIT, following the company’s second-quarter 2025 results. According to InvestingPro data, the company maintains a significant 8.84% dividend yield.

Global Medical REIT reported core FFO of $0.20 per share for the second quarter, which aligned with both consensus and Citizens estimates. The company beat expectations on net operating income (NOI), with revenue growing 2.95% year-over-year, but higher general and administrative costs kept funds from operations (FFO) and funds available for distribution (FAD) per share within estimated ranges. InvestingPro analysis suggests the stock is currently trading below its Fair Value, with additional insights available in the comprehensive Pro Research Report.

The healthcare REIT reaffirmed its full-year 2025 AFFO per share guidance range of $0.89 to $0.93. During the second quarter, GMRE completed the acquisition of five medical office building properties for $69.6 million, representing the final portion of a five-property portfolio deal.

The company recently introduced its new CEO, Mark Decker, who brings REIT leadership experience from his seven-year tenure as CEO of Centerspace (NYSE:CSR).

Citizens JMP noted that while GMRE’s cash flow remains healthy, the firm maintains its Market Perform rating due to capital markets risk associated with upcoming refinancing needs for portions of its credit facility and term loan, as well as the need to replace swaps, alongside the fact that 12% of its annual base rents are set to turn over in the next six quarters.

In other recent news, Global Medical REIT Inc . announced its second-quarter 2025 earnings, revealing a mixed financial performance. The company reported revenue of $37.9 million, exceeding analyst forecasts of $35.39 million, which represents a 7.09% positive surprise. However, the earnings per share came in at -$0.01, falling short of expectations which were set at $0.01. Additionally, Global Medical REIT’s Board of Directors approved a $50 million stock repurchase program and a one-for-five reverse stock split. The repurchase program allows the company to buy back its outstanding common shares through various methods, with the specifics depending on market conditions. These recent developments underscore a period of strategic financial maneuvering for Global Medical REIT.

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