NYSE:MPW

Stock Analysis Report

Medical Properties Trust

Executive Summary

Medical Properties Trust, Inc. is a self-advised real estate investment trust formed to acquire and develop net-leased hospital facilities.

Snowflake

Fundamentals

Very undervalued 6 star dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.7%

MPW

1.5%

US REITs

0.4%

US Market


1 Year Return

36.5%

MPW

19.9%

US REITs

6.9%

US Market

Return vs Industry: MPW exceeded the US REITs industry which returned 19.9% over the past year.

Return vs Market: MPW exceeded the US Market which returned 6.9% over the past year.


Shareholder returns

MPWIndustryMarket
7 Day1.7%1.5%0.4%
30 Day6.1%1.6%-1.1%
90 Day14.9%7.8%-0.5%
1 Year44.5%36.5%25.2%19.9%9.3%6.9%
3 Year66.7%36.2%36.0%18.6%45.8%36.4%
5 Year115.0%53.3%64.7%30.0%62.9%45.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Medical Properties Trust undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: MPW ($20.1) is trading below our estimate of fair value ($40.86)

Significantly Undervalued: MPW is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: MPW is good value based on its PE Ratio (7.8x) compared to the REITs industry average (36.2x).

PE vs Market: MPW is good value based on its PE Ratio (7.8x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

Low PEG Ratio: MPW is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: MPW is good value based on its PB Ratio (1.6x) compared to the US REITs industry average (2x).


Next Steps

Future Growth

How is Medical Properties Trust forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

10.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MPW's forecast earnings growth (10.2% per year) is above the savings rate (2.7%).

Earnings vs Market: MPW's earnings (10.2% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: MPW's earnings are forecast to grow, but not significantly.

Revenue vs Market: MPW's revenue (13% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: MPW's revenue (13% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: MPW's Return on Equity is forecast to be low in 3 years time (8.5%).


Next Steps

Past Performance

How has Medical Properties Trust performed over the past 5 years?

55.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: MPW's earnings have grown significantly by 55% per year over the past 5 years.

Accelerating Growth: MPW's earnings growth over the past year (176.8%) exceeds its 5-year average (55% per year).

Earnings vs Industry: MPW earnings growth over the past year (176.8%) exceeded the REITs industry 17.6%.


Return on Equity

High ROE: MPW's Return on Equity (19.7%) is considered low.


Return on Assets

ROA vs Industry: MPW has a higher Return on Assets than the REITs industry average last year.


Return on Capital Employed

ROCE Improving: MPW's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Medical Properties Trust's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: MPW has a high level of physical assets or inventory.

Debt Coverage by Assets: MPW's debt is not covered by short term assets (assets are 0.4x debt).


Financial Institutions Analysis

Asset Level: MPW's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if MPW has a sufficient allowance for bad loans.

Low Risk Liabilities: MPW reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if MPW has an acceptable proportion of non-loan assets held.

Low Risk Deposits: MPW has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if MPW has an appropriate level of bad loans.


Next Steps

Dividend

What is Medical Properties Trust's current dividend yield, its reliability and sustainability?

5.17%

Current Dividend Yield


Dividend Yield vs Market

company5.2%marketbottom25%1.4%markettop25%3.7%industryaverage3.6%forecastin3Years5.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: MPW's dividend (5.17%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: MPW's dividend (5.17%) is in the top 25% of dividend payers in the US market (3.73%)

Stable Dividend: MPW's dividends per share have been stable in the past 10 years.

Growing Dividend: MPW's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (79.5%), MPW's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MPW's dividends in 3 years are forecast to be thoroughly covered by earnings (0.1% payout ratio).


Next Steps

Management

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

3.8yrs

Average management tenure


CEO

Ed Aldag (55yo)

16.2yrs

Tenure

US$13,213,265

Compensation

Mr. Edward K. Aldag, Jr., also known as Ed, is a Founder of Medical Properties Trust, Inc. and has been its President and Chief Executive Officer since August 2003. He serves as Director of Infracore SA si ...


CEO Compensation Analysis

Compensation vs. Market: Ed's total compensation ($USD13.21M) is about average for companies of similar size in the US market ($USD6.81M).

Compensation vs Earnings: Ed's compensation has increased by more than 20% in the past year.


Management Age and Tenure

3.8yrs

Average Tenure

55yo

Average Age

Experienced Management: MPW's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

5.1yrs

Average Tenure

56yo

Average Age

Experienced Board: MPW's board of directors are considered experienced (5.1 years average tenure).


Insider Trading

Insider Buying: MPW insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

SellUS$2,016,84815 Oct 19
Edward Aldag
EntityIndividual
Role
Chief Executive Officer
Founder
Shares101,964
Max PriceUS$19.78
SellUS$1,505,82526 Sep 19
R. Hamner
EntityIndividual
Role
Member of the Board of Directors
Founder
Shares77,500
Max PriceUS$19.43
SellUS$1,837,00019 Aug 19
Emmett McLean
EntityIndividual
Role
Top Key Executive
Founder
Shares100,000
Max PriceUS$18.37
SellUS$135,09109 Aug 19
G. Dawson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares7,476
Max PriceUS$18.07
BuyUS$135,09109 Aug 19
G. Dawson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares7,476
Max PriceUS$18.07
SellUS$1,243,90009 Aug 19
R. Hamner
EntityIndividual
Role
Member of the Board of Directors
Founder
Shares70,000
Max PriceUS$17.77
SellUS$126,15010 Jun 19
Michael Stewart
EntityIndividual
Role
Lead Director
Lead Director
Shares6,830
Max PriceUS$18.47
SellUS$5,121,36122 Mar 19
Edward Aldag
EntityIndividual
Role
Chief Executive Officer
Founder
Shares273,577
Max PriceUS$18.72
SellUS$330,66014 Feb 19
James Hanna
EntityIndividual
Role
Chief Accounting Officer
Chief Accounting Officer
Shares18,000
Max PriceUS$18.37
SellUS$870,00006 Dec 18
Emmett McLean
EntityIndividual
Role
Top Key Executive
Founder
Shares50,000
Max PriceUS$17.40
SellUS$100,86206 Dec 18
Michael Stewart
EntityIndividual
Role
Lead Director
Lead Director
Shares5,800
Max PriceUS$17.39
SellUS$722,63129 Nov 18
Edward Aldag
EntityIndividual
Role
Chief Executive Officer
Founder
Shares43,065
Max PriceUS$16.78

Ownership Breakdown


Management Team

  • Steve Hamner (62yo)

    Founder

    • Tenure: 14.7yrs
    • Compensation: US$6.65m
  • Emmett McLean (64yo)

    Founder

    • Tenure: 0yrs
    • Compensation: US$6.02m
  • Ed Aldag (55yo)

    Founder

    • Tenure: 16.2yrs
    • Compensation: US$13.21m
  • Charles Lambert (48yo)

    Treasurer & MD of Capital Markets

    • Tenure: 1.7yrs
  • James Hanna (46yo)

    Chief Accounting Officer

    • Tenure: 3.8yrs
  • Tim Berryman

    Director of Investor Relations

    • Tenure: 0yrs
  • Rosa Hooper

    VP and MD of Asset Management & Underwriting

    • Tenure: 3.8yrs
  • Jamey Ramsey

    Managing Director of Tax

    • Tenure: 0yrs

Board Members

  • C. Thompson (56yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: US$219.10k
  • Steve Dawson (62yo)

    Independent Director

    • Tenure: 15.5yrs
    • Compensation: US$224.10k
  • Steve Hamner (62yo)

    Founder

    • Tenure: 14.7yrs
    • Compensation: US$6.65m
  • Ed Aldag (55yo)

    Founder

    • Tenure: 16.2yrs
    • Compensation: US$13.21m
  • Mike Stewart (64yo)

    Lead Director

    • Tenure: 3.8yrs
    • Compensation: US$229.10k
  • D. Sparks (56yo)

    Independent Director

    • Tenure: 5.1yrs
    • Compensation: US$219.10k
  • Beth Pitman (55yo)

    Director

    • Tenure: 1.7yrs
    • Compensation: US$175.35k

Company Information

Medical Properties Trust, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Medical Properties Trust, Inc.
  • Ticker: MPW
  • Exchange: NYSE
  • Founded: 2003
  • Industry: Health Care REITs
  • Sector: Real Estate
  • Implied Market Cap: US$8.898b
  • Market Cap: US$8.969b
  • Shares outstanding: 446.46m
  • Website: https://www.medicalpropertiestrust.com

Number of Employees


Location

  • Medical Properties Trust, Inc.
  • 1000 Urban Center Drive
  • Suite 501
  • Birmingham
  • Alabama
  • 35242
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MPWNYSE (New York Stock Exchange)YesCommon StockUSUSDJul 2005
M3PDB (Deutsche Boerse AG)YesCommon StockDEEURJul 2005
0JZZLSE (London Stock Exchange)YesCommon StockGBUSDJul 2005

Biography

Medical Properties Trust, Inc. is a self-advised real estate investment trust formed to acquire and develop net-leased hospital facilities. The Company’s financing model facilitates acquisitions and recapi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 23:51
End of Day Share Price2019/10/18 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.