4-Star Stocks Poised to Pop: Senior Housing
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, real estate investment trust Senior Housing Properties Trust (NYS: SNH) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Senior Housing's business and see what CAPS investors are saying about the stock right now.
Senior Housing facts
|Headquarters (Founded)||Newton, Mass. (1998)|
|Market Cap||$3.59 billion|
|Trailing-12-Month Revenue||$409 million|
|Management||President/COO David Hegarty (since 1999)|
CFO Richard Doyle Jr. (since 2007)
|Return on Equity (Average, Past 3 Years)||6.4%|
|Cash/Debt||$26.8 million / $1.60 billion|
|Competitors||HCP (NYS: HCP) |
Health Care REIT (NYS: HCN)
LTC Properties (NYS: LTC)
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 93% of the 216 members who have rated Senior Housing believe the stock will outperform the S&P 500 going forward. These bulls include All-Star fooluser17, who is ranked in the top 5% of our community, and dirtpoorfool.
Just last week, fooluser17 touched on the demographic trends working in Senior Housing's favor: "I don't like the lack of cash on hand and large debt, but par for the course I guess for a REIT. This particular REIT is interesting in that demand should be pretty much guaranteed as the population ages."
Senior Housing even boasts a rather juicy dividend yield of 7.1%. That's higher than that of competitors like HCP (4.9%), Health Care REIT (5.5%), and LTC Properties (5.7%).
CAPS member dirtpoorfool elaborates on the Senior Housing bull case:
A REIT involved with senior housing developments. With the number of Baby Boomers hitting retirement poised to reach its peak, this may be a good investment for the next 20 to 25 years. Those in this generation are generally more healthy than those before it, and they will be living longer. The specialized senior assisted living communities are a great hit with many seniors, including many in my own family!
What do you think about Senior Housing, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
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At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of Health Care REIT. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.
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