NYSE:CHCT

Stock Analysis Report

Community Healthcare Trust

Executive Summary

Community Healthcare Trust Incorporated is a real estate investment trust that focuses on owning income-producing real estate properties associated primarily with the delivery of outpatient healthcare services in non-urban markets throughout the United States.

Snowflake

Fundamentals

High growth potential and slightly overvalued.

Share Price & News

How has Community Healthcare Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.8%

NYSE:CHCT

1.0%

US REITs

0.2%

US Market


1 Year Return

37.9%

NYSE:CHCT

9.1%

US REITs

-0.7%

US Market

CHCT outperformed the REITs industry which returned 9.1% over the past year.

CHCT outperformed the Market in United States of America which returned -0.7% over the past year.


Share holder returns

CHCTIndustryMarket
7 Day0.8%1.0%0.2%
30 Day5.9%3.6%-2.7%
90 Day13.9%3.0%1.6%
1 Year44.4%37.9%14.0%9.1%1.6%-0.7%
3 Year124.5%88.8%24.2%8.0%40.0%30.9%
5 Yearn/a58.6%24.8%53.8%36.8%

Price Volatility Vs. Market

How volatile is Community Healthcare Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Community Healthcare Trust undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Community Healthcare Trust's share price is below the future cash flow value, and at a moderate discount (> 20%).

Community Healthcare Trust's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Community Healthcare Trust is overvalued based on earnings compared to the US REITs industry average.

Community Healthcare Trust is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Community Healthcare Trust is poor value based on expected growth next year.


Price Based on Value of Assets

Community Healthcare Trust is overvalued based on assets compared to the US REITs industry average.


Next Steps

Future Growth

How is Community Healthcare Trust expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

28.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Community Healthcare Trust's revenue is expected to grow significantly at over 20% yearly.

Community Healthcare Trust's earnings are expected to grow significantly at over 20% yearly.

Community Healthcare Trust's revenue growth is expected to exceed the United States of America market average.

Community Healthcare Trust's earnings growth is expected to exceed the United States of America market average.

Community Healthcare Trust's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Community Healthcare Trust will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Community Healthcare Trust performed over the past 5 years?

12.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Community Healthcare Trust's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

Community Healthcare Trust's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Community Healthcare Trust's 1-year earnings growth is negative, it can't be compared to the US REITs industry average.


Return on Equity

Community Healthcare Trust has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Community Healthcare Trust used its assets less efficiently than the US REITs industry average last year based on Return on Assets.


Return on Capital Employed

Community Healthcare Trust has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Community Healthcare Trust's financial position?


Financial Position Analysis

Community Healthcare Trust is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Community Healthcare Trust's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Community Healthcare Trust's level of debt (72.7%) compared to net worth is high (greater than 40%).

Unable to establish if Community Healthcare Trust's debt level has increased without past 5-year debt data.

Debt is not well covered by operating cash flow (12.7%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 1.9x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.2x debt.


Next Steps

Dividend

What is Community Healthcare Trust's current dividend yield, its reliability and sustainability?

4.00%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Community Healthcare Trust's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

Community Healthcare Trust's dividend is below the markets top 25% of dividend payers in United States of America (3.85%).

Whilst dividend payments have been stable, Community Healthcare Trust has been paying a dividend for less than 10 years.

Dividend payments have increased, but Community Healthcare Trust only paid a dividend in the past 4 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.8x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be thoroughly covered by earnings (30.5x coverage).


Next Steps

Management

What is the CEO of Community Healthcare Trust's salary, the management and board of directors tenure and is there insider trading?

0.3yrs

Average management tenure


CEO

Tim Wallace (60yo)

5.4yrs

Tenure

US$2,247,977

Compensation

Mr. Timothy G. Wallace, also known as Tim, has been the Chairman, Chief Executive Officer and President of Community Healthcare Trust Incorporated since March 2014. From 2003 to 2014, Mr. Wallace was co-fo ...


CEO Compensation Analysis

Tim's remuneration is about average for companies of similar size in United States of America.

Tim's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

0.3yrs

Average Tenure

56yo

Average Age

The average tenure for the Community Healthcare Trust management team is less than 2 years, this suggests a new team.


Board Age and Tenure

4.3yrs

Average Tenure

61yo

Average Age

The tenure for the Community Healthcare Trust board of directors is about average.


Insider Trading

Community Healthcare Trust individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$152,95605 Jun 19
R. Van Horn
EntityIndividual
Role
Member of the Board of Directors
Director
Shares4,053
Max PriceUS$37.74
SellUS$251,92515 Mar 19
Leigh Stach
EntityIndividual
Role
Chief Accounting Officer
Executive VP & Chief Accounting Officer
Shares7,500
Max PriceUS$33.59

Ownership Breakdown


Management Team

  • Tim Wallace (60yo)

    Chairman

    • Tenure: 5.4yrs
    • Compensation: US$2.25m
  • Leigh Stach (52yo)

    Executive VP & Chief Accounting Officer

    • Tenure: 5.4yrs
    • Compensation: US$1.28m
  • Page Barnes (65yo)

    Executive VP & Chief Operating Officer

    • Tenure: 0.3yrs
    • Compensation: US$1.33m
  • Ron Hart

    Vice President of Asset Management

    • Tenure: 0.0yrs
  • Jon Anderson

    Controller

    • Tenure: 0.0yrs
  • Dave Dupuy (50yo)

    Executive VP & CFO

    • Tenure: 0.3yrs
  • Timothy Meyer

    Senior Vice President of Asset Management

    • Tenure: 0.1yrs

Board Members

  • Tim Wallace (60yo)

    Chairman

    • Tenure: 5.4yrs
    • Compensation: US$2.25m
  • Claire Gulmi (65yo)

    Director

    • Tenure: 1.3yrs
    • Compensation: US$125.00k
  • Robert Hensley (61yo)

    Director

    • Tenure: 4.3yrs
    • Compensation: US$153.79k
  • Alan Gardner (65yo)

    Lead Independent Director

    • Tenure: 4.6yrs
    • Compensation: US$166.71k
  • R. Van Horn (51yo)

    Director

    • Tenure: 4.3yrs
    • Compensation: US$154.77k

Company Information

Community Healthcare Trust Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Community Healthcare Trust Incorporated
  • Ticker: CHCT
  • Exchange: NYSE
  • Founded:
  • Industry: Health Care REITs
  • Sector: Real Estate
  • Market Cap: US$803.963m
  • Shares outstanding: 18.59m
  • Website: https://www.chct.reit

Number of Employees


Location

  • Community Healthcare Trust Incorporated
  • 3326 Aspen Grove Drive
  • Suite 150
  • Franklin
  • Tennessee
  • 37067
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CHCTNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 2015

Biography

Community Healthcare Trust Incorporated is a real estate investment trust that focuses on owning income-producing real estate properties associated primarily with the delivery of outpatient healthcare serv ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 00:34
End of Day Share Price2019/08/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.