US stock futures edge lower after S&P 500 hits record high; PCE data in focus
Investing.com - Truist Securities raised its price target on American Healthcare REIT, Inc (NYSE:AHR) to $46.00 from $44.00 on Tuesday, while maintaining a Buy rating on the healthcare real estate investment trust. The stock, currently trading at $42.50 with a market capitalization of $6.9 billion, has shown remarkable strength with a 107.89% return over the past year. According to InvestingPro analysis, the stock appears to be trading above its Fair Value.
The price target increase follows investor meetings in Chicago last week between Truist Securities and AHR’s management team, including the company’s CFO Brian Peay and VP of Investor Relations & Finance Alan Peterson.
Truist noted that investor questions during the meetings reflected bullish sentiment, with participants asking about equity raising potential, investment volume limitations, and occupancy and margin growth possibilities.
The revised price target is based on a weighted approach that includes a $37.28 discounted cash flow analysis (one-third weighting), an 80% assumed premium to projected NAV a year forward (one-third), and a 27.5x multiple on 2026 estimated normalized FFO per share.
AHR currently trades at a 77% premium to Truist’s NAV estimate compared to a 22% average premium since its February 2024 IPO, and at 26.6x 2025 FFO versus a 17.5x average since going public.
In other recent news, American Healthcare REIT reported a robust financial performance for the second quarter of 2025, with a 27% increase in normalized funds from operations (NFFO) per share. The company also raised its full-year 2025 NFFO guidance, highlighting its strong outlook. Following these results, several analysts have adjusted their price targets for the company. Truist Securities increased its price target to $44, citing the company’s strong second-quarter results and higher earnings guidance. RBC Capital also raised its price target to $45, describing the earnings report as showing "solid results." JMP Securities echoed this sentiment, raising its price target to $45 and noting that American Healthcare REIT’s Core FFO of $0.42 per share exceeded expectations. Analysts noted the company’s favorable positioning in the healthcare real estate sector and suggested that management’s occupancy projections might still be conservative. These recent developments reflect positive investor sentiment and confidence in American Healthcare REIT’s future performance.
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