Comparing Community Healthcare Trust (CHCT) and National Health Investors (NHI)
Community Healthcare Trust (NYSE: CHCT) and National Health Investors (NYSE:NHI) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, risk, dividends, institutional ownership, earnings, profitability and valuation.
Volatility and Risk
Community Healthcare Trust has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500. Comparatively, National Health Investors has a beta of 0.56, meaning that its share price is 44% less volatile than the S&P 500.
Insider & Institutional Ownership
60.2% of Community Healthcare Trust shares are owned by institutional investors. Comparatively, 70.6% of National Health Investors shares are owned by institutional investors. 5.5% of Community Healthcare Trust shares are owned by insiders. Comparatively, 5.2% of National Health Investors shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
Valuation and Earnings
This table compares Community Healthcare Trust and National Health Investors’ revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||EBITDA||Earnings Per Share||Price/Earnings Ratio|
|Community Healthcare Trust||$30.77 million||11.03||$20.43 million||$0.27||99.08|
|National Health Investors||$263.75 million||12.42||$257.02 million||$3.89||20.55|
National Health Investors has higher revenue and earnings than Community Healthcare Trust. National Health Investors is trading at a lower price-to-earnings ratio than Community Healthcare Trust, indicating that it is currently the more affordable of the two stocks.
Community Healthcare Trust pays an annual dividend of $1.57 per share and has a dividend yield of 5.9%. National Health Investors pays an annual dividend of $3.80 per share and has a dividend yield of 4.8%. Community Healthcare Trust pays out 581.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. National Health Investors pays out 97.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Community Healthcare Trust has increased its dividend for 7 consecutive years. Community Healthcare Trust is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
This table compares Community Healthcare Trust and National Health Investors’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|Community Healthcare Trust||11.30%||1.81%||1.33%|
|National Health Investors||59.24%||12.56%||6.38%|
This is a summary of recent ratings and recommmendations for Community Healthcare Trust and National Health Investors, as provided by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|Community Healthcare Trust||0||0||1||0||3.00|
|National Health Investors||1||2||2||0||2.20|
Community Healthcare Trust presently has a consensus target price of $26.50, suggesting a potential downside of 0.93%. National Health Investors has a consensus target price of $79.25, suggesting a potential downside of 0.85%. Given National Health Investors’ higher probable upside, analysts clearly believe National Health Investors is more favorable than Community Healthcare Trust.
National Health Investors beats Community Healthcare Trust on 11 of the 17 factors compared between the two stocks.
Community Healthcare Trust Company Profile
Community Healthcare Trust Incorporated is an integrated healthcare real estate company. The Company owns and acquires, or finances, real estate properties that are leased to hospitals, doctors, healthcare systems or other healthcare service providers in non-urban markets. It has investments in healthcare real estate, including mortgage and other loans. The Company’s medical office buildings are located in areas, such as, Florida, Georgia, Illinois, Kentucky, Ohio and Texas. Its physician clinics are located in Alabama, Florida, Kansas, Pennsylvania and Wisconsin. Its surgical centers and hospitals are located in areas, such as Louisiana, Michigan and Arizona. Its behavioral facilities are located in Indiana and Illinois. Its specialty centers are located in Texas, Colorado and Alabama, among others. As of December 31, 2016, the Company had interests in 57 real estate properties and one mortgage note, located in 22 states, totaling over 1.33 million square feet in the aggregate.
National Health Investors Company Profile
National Health Investors, Inc. is a self-managed real estate investment trust (REIT) specializing in sale-leaseback, joint-venture, mortgage and mezzanine financing of need-driven and discretionary senior housing and medical investments. The Company is engaged in the business of owning and financing healthcare properties. Its portfolio consists of lease, mortgage and other note investments in independent living facilities, assisted living facilities, entrance-fee communities, senior living campuses, skilled nursing facilities, specialty hospitals and medical office buildings. Its other investments include marketable securities and a joint venture structured to comply with the provisions of the REIT Investment Diversification Empowerment Act of 2007 (RIDEA) through which it invests in facility operations managed by an independent third party. As of December 31, 2016, it had investments in real estate, mortgage and other notes receivable involving 205 facilities located in 32 states.
Receive News & Ratings for Community Healthcare Trust Incorporated Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Community Healthcare Trust Incorporated and related companies with MarketBeat.com's FREE daily email newsletter.