Critical Analysis: National Healthcare Properties (NHP) versus The Competition

National Healthcare Properties (NASDAQ:NHP) is one of 27 public companies in the “REAL ESTATE INVESTMENT TRUSTS” industry, but how does it contrast to its competitors? We will compare National Healthcare Properties to related businesses based on the strength of its analyst recommendations, institutional ownership, risk, earnings, dividends, profitability and valuation.

Institutional & Insider Ownership

94.9% of National Healthcare Properties shares are owned by institutional investors. Comparatively, 43.0% of shares of all “REAL ESTATE INVESTMENT TRUSTS” companies are owned by institutional investors. 1.8% of National Healthcare Properties shares are owned by insiders. Comparatively, 14.7% of shares of all “REAL ESTATE INVESTMENT TRUSTS” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares National Healthcare Properties and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
National Healthcare Properties	$342.12 million	N/A	11.38
National Healthcare Properties Competitors	$150.58 million	-$39.82 million	-3.45

National Healthcare Properties has higher revenue and earnings than its competitors. National Healthcare Properties is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares National Healthcare Properties and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
National Healthcare Properties	N/A	N/A	N/A
National Healthcare Properties Competitors	-180.44%	-27.58%	-4.43%

Analyst Ratings

This is a summary of recent ratings and target prices for National Healthcare Properties and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
National Healthcare Properties	0	4	5	0	2.56
National Healthcare Properties Competitors	93	698	173	1	2.08

National Healthcare Properties presently has a consensus price target of $17.13, suggesting a potential upside of 18.51%. As a group, “REAL ESTATE INVESTMENT TRUSTS” companies have a potential upside of 48.32%. Given National Healthcare Properties’ competitors higher probable upside, analysts plainly believe National Healthcare Properties has less favorable growth aspects than its competitors.

Summary

National Healthcare Properties beats its competitors on 8 of the 11 factors compared.