In the latest trading session, Diversified Healthcare (DHC) closed at $2.31, representing a decrease of 0.86% from the previous day. This decrease was lower than the daily loss of 0.22% experienced by the S&P 500. Additionally, the Dow and Nasdaq lost 0.31% and 0.23%, respectively.
Over the past month, shares of Diversified Healthcare, a residential care real estate investment trust, have declined by 19.1%. During the same period, the Finance sector gained 1.95%, while the S&P 500 registered a gain of 2.08%.
Diversified Healthcare is anticipated to release its next earnings report soon. Analysts project earnings of $0.08 per share, reflecting a year-over-year growth of 233.33%. The consensus estimate for revenue is $356.42 million, indicating a 10.37% increase from the prior-year quarter.
The Zacks Consensus Estimates for DHC’s full-year earnings are $0.23 per share and revenue of $1.41 billion, representing year-over-year changes of +243.75% and +10.22%, respectively.
Recent changes to analyst estimates for Diversified Healthcare are noteworthy, as revisions typically reflect the latest near-term business trends. Positive estimate revisions indicate a favorable outlook for the company’s business.
Research indicates that estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, the Zacks Rank was developed, a rating system that incorporates these estimate changes. With a Zacks Rank of #4 (Sell) currently, Diversified Healthcare has seen its Zacks Consensus EPS estimate decline by 20.69% in the past month.
In terms of valuation, Diversified Healthcare has a Forward P/E ratio of 10.13, lower than the industry average of 11.05. Additionally, it has a PEG ratio of 0.39, which considers the company’s expected earnings growth rate. Comparatively, the REIT and Equity Trust – Other industry has an average PEG ratio of 2.45.
The REIT and Equity Trust – Other industry is part of the Finance sector and currently has a Zacks Industry Rank of 182, placing it in the bottom 28% of all industries analyzed. Research has shown that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To stay informed about these stock-moving metrics and more, visit Zacks.com, a reputable source for investment research.
Definitions:
– Residential care real estate investment trust: A company that owns and operates residential care facilities, typically for seniors, and generates income by leasing these properties.
– Forward P/E ratio: A valuation ratio that compares a company’s current stock price to its estimated earnings per share.
– PEG ratio: A valuation metric that compares a company’s P/E ratio to its expected earnings growth rate.
– Zacks Rank: A proprietary model that ranks stocks based on their earnings estimate revisions.
– Zacks Industry Rank: A ranking of industries based on the average Zacks Rank of the individual companies within each sector.
Sources:
Zacks Investment Research (source article)
