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Market Cap

US$20.7b

Last Updated

2021/04/12 22:16 UTC

Data Sources

Company Financials +

Executive Summary

Ventas, an S&P 500 company, operates at the intersection of two powerful and dynamic industries – healthcare and real estate. More Details


Snowflake Analysis

Acceptable track record second-rate dividend payer.


Similar Companies

Share Price & News

How has Ventas's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: VTR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: VTR's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

2.6%

VTR

0.4%

US REITs

0.9%

US Market


1 Year Return

69.2%

VTR

24.4%

US REITs

57.9%

US Market

Return vs Industry: VTR exceeded the US REITs industry which returned 18.3% over the past year.

Return vs Market: VTR exceeded the US Market which returned 56.3% over the past year.


Shareholder returns

VTRIndustryMarket
7 Day2.6%0.4%0.9%
30 Day-2.6%2.9%2.3%
90 Day18.0%14.9%6.3%
1 Year76.2%69.2%29.7%24.4%60.8%57.9%
3 Year32.6%13.2%41.7%24.5%64.5%53.9%
5 Year11.8%-13.6%46.8%17.2%120.9%96.4%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Ventas undervalued compared to its fair value and its price relative to the market?

22.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VTR ($54.74) is trading below our estimate of fair value ($71.24)

Significantly Below Fair Value: VTR is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: VTR's PE Ratio (46.5x) is in line with the US REITs industry average.

PE vs Market: VTR is poor value based on its PE Ratio (46.5x) compared to the US market (22.3x).


Price to Earnings Growth Ratio

PEG Ratio: VTR's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: VTR is overvalued based on its PB Ratio (2x) compared to the US REITs industry average (1.8x).


Future Growth

How is Ventas forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

-2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VTR's earnings are forecast to decline over the next 3 years (-2.1% per year).

Earnings vs Market: VTR's earnings are forecast to decline over the next 3 years (-2.1% per year).

High Growth Earnings: VTR's earnings are forecast to decline over the next 3 years.

Revenue vs Market: VTR's revenue (3.3% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: VTR's revenue (3.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VTR's Return on Equity is forecast to be low in 3 years time (3.6%).


Past Performance

How has Ventas performed over the past 5 years?

-5.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VTR has a large one-off gain of $209.7M impacting its December 31 2020 financial results.

Growing Profit Margin: VTR's current net profit margins (11.6%) are higher than last year (11.3%).


Past Earnings Growth Analysis

Earnings Trend: VTR's earnings have declined by 5.8% per year over the past 5 years.

Accelerating Growth: VTR's earnings growth over the past year (0.5%) exceeds its 5-year average (-5.8% per year).

Earnings vs Industry: VTR earnings growth over the past year (0.5%) exceeded the REITs industry -4.4%.


Return on Equity

High ROE: VTR's Return on Equity (4.2%) is considered low.


Financial Health

How is Ventas's financial position?


Financial Position Analysis

Short Term Liabilities: VTR's short term assets ($688.0M) do not cover its short term liabilities ($1.1B).

Long Term Liabilities: VTR's short term assets ($688.0M) do not cover its long term liabilities ($12.3B).


Debt to Equity History and Analysis

Debt Level: VTR's debt to equity ratio (113.1%) is considered high.

Reducing Debt: VTR's debt to equity ratio has reduced from 114.1% to 113.1% over the past 5 years.

Debt Coverage: VTR's debt is not well covered by operating cash flow (12.2%).

Interest Coverage: VTR's interest payments on its debt are not well covered by EBIT (1.3x coverage).


Balance Sheet


Dividend

What is Ventas's current dividend yield, its reliability and sustainability?

3.27%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VTR's dividend (3.29%) is higher than the bottom 25% of dividend payers in the US market (1.26%).

High Dividend: VTR's dividend (3.29%) is low compared to the top 25% of dividend payers in the US market (3.5%).


Stability and Growth of Payments

Stable Dividend: VTR's dividend payments have been volatile in the past 10 years.

Growing Dividend: VTR's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (73.2%), VTR's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VTR's dividends in 3 years are forecast to be covered by earnings (60.9% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.0yrs

Average management tenure


CEO

Deb Cafaro (62 yo)

22.08yrs

Tenure

US$11,348,335

Compensation

Ms. Debra A. Cafaro, also known as Deb, J.D., has been the Chief Executive Officer at Ventas, Inc. since March 5, 1999 and has been its Chairman since January 28, 2003. Ms. Cafaro serves as a Chairman at T...


CEO Compensation Analysis

Compensation vs Market: Deb's total compensation ($USD11.35M) is about average for companies of similar size in the US market ($USD10.98M).

Compensation vs Earnings: Deb's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: VTR's management team is considered experienced (3 years average tenure).


Board Members

Experienced Board: VTR's board of directors are considered experienced (5.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: VTR insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Ventas, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ventas, Inc.
  • Ticker: VTR
  • Exchange: NYSE
  • Founded: 1983
  • Industry: Health Care REITs
  • Sector: Real Estate
  • Implied Market Cap: US$20.672b
  • Market Cap: US$20.509b
  • Shares outstanding: 377.65m
  • Website: https://www.ventasreit.com

Number of Employees


Location

  • Ventas, Inc.
  • 353 North Clark Street
  • Suite 3300
  • Chicago
  • Illinois
  • 60654
  • United States

Listings


Biography

Ventas, an S&P 500 company, operates at the intersection of two powerful and dynamic industries – healthcare and real estate. As one of the world’s foremost Real Estate Investment Trusts (REIT), we use the...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/12 22:16
End of Day Share Price2021/04/12 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.