Welltower
Market Cap
US$36.7b
Last Updated
2020/02/16 23:41 UTC
Data Sources
Company Financials +
Executive Summary
Welltower Inc. (NYSE:WELL), an S&P 500 company headquartered in Toledo, Ohio, is driving the transformation of health care infrastructure.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -23.9% per year for the next 3 years
Snowflake Analysis
6 star dividend payer with proven track record.
Similar Companies
Share Price & News
How has Welltower's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WELL has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
6.2%
WELL
3.0%
US REITs
1.5%
US Market
1 Year Return
15.1%
WELL
16.2%
US REITs
20.1%
US Market
Return vs Industry: WELL underperformed the US REITs industry which returned 16.2% over the past year.
Return vs Market: WELL underperformed the US Market which returned 20.1% over the past year.
Shareholder returns
| WELL | Industry | Market | |
|---|---|---|---|
| 7 Day | 6.2% | 3.0% | 1.5% |
| 30 Day | 3.4% | 4.5% | 1.4% |
| 90 Day | 5.3% | 6.1% | 8.7% |
| 1 Year | 20.2%15.1% | 20.9%16.2% | 22.7%20.1% |
| 3 Year | 55.6%35.5% | 40.7%23.1% | 50.1%40.5% |
| 5 Year | 45.1%14.4% | 57.9%25.3% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is Welltower's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Can You Imagine How Welltower's (NYSE:WELL) Shareholders Feel About The 30% Share Price Increase?1 month ago | Simply Wall St
Who Has Been Selling Welltower Inc. (NYSE:WELL) Shares?2 months ago | Simply Wall St
Should You Worry About Welltower Inc.'s (NYSE:WELL) CEO Pay Cheque?Valuation
Is Welltower undervalued compared to its fair value and its price relative to the market?
15.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: WELL ($89.32) is trading below our estimate of fair value ($106.13)
Significantly Below Fair Value: WELL is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: WELL is good value based on its PE Ratio (29.1x) compared to the REITs industry average (37.3x).
PE vs Market: WELL is poor value based on its PE Ratio (29.1x) compared to the US market (18.4x).
Price to Earnings Growth Ratio
PEG Ratio: WELL's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: WELL is overvalued based on its PB Ratio (2.4x) compared to the US REITs industry average (2.1x).
Next Steps
Future Growth
How is Welltower forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
-23.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WELL's earnings are forecast to decline over the next 3 years (-23.9% per year).
Earnings vs Market: WELL's earnings are forecast to decline over the next 3 years (-23.9% per year).
High Growth Earnings: WELL's earnings are forecast to decline over the next 3 years.
Revenue vs Market: WELL's revenue (1.1% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: WELL's revenue (1.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WELL's Return on Equity is forecast to be low in 3 years time (6.1%).
Next Steps
Past Performance
How has Welltower performed over the past 5 years?
3.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WELL has a large one-off gain of $635.8M impacting its December 31 2019 financial results.
Growing Profit Margin: WELL's current net profit margins (24.1%) are higher than last year (16.2%).
Past Earnings Growth Analysis
Earnings Trend: WELL's earnings have grown by 3.2% per year over the past 5 years.
Accelerating Growth: WELL's earnings growth over the past year (62.5%) exceeds its 5-year average (3.2% per year).
Earnings vs Industry: WELL earnings growth over the past year (62.5%) exceeded the REITs industry 6.9%.
Return on Equity
High ROE: WELL's Return on Equity (7.8%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Welltower'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: WELL has a high level of physical assets or inventory.
Debt Coverage by Assets: WELL's debt is not covered by short term assets (assets are 0.2x debt).
Financial Institutions Analysis
Asset Level: WELL's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if WELL has a sufficient allowance for bad loans.
Low Risk Liabilities: WELL reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if WELL has an acceptable proportion of non-loan assets held.
Low Risk Deposits: WELL has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if WELL has an appropriate level of bad loans.
Next Steps
Dividend
What is Welltower's current dividend yield, its reliability and sustainability?
3.90%
Current Dividend Yield
Upcoming Dividend Payment
Purchase Welltower before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: WELL's dividend (3.9%) is higher than the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: WELL's dividend (3.9%) is in the top 25% of dividend payers in the US market (3.69%)
Stability and Growth of Payments
Stable Dividend: WELL's dividends per share have been stable in the past 10 years.
Growing Dividend: WELL's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (88.8%), WELL's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: WELL's dividends in 3 years are forecast to be thoroughly covered by earnings (0.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.1yrs
Average management tenure
CEO
Tom DeRosa (61yo)
5.8yrs
Tenure
US$12,884,453
Compensation
Mr. Thomas J. DeRosa, also known as Tom, serves as a Chairman of the Board at Welltower Inc. since 2019. He serves as Director of Empire State Realty Trust Inc. since October 2013, is currently Chief Execu ...
CEO Compensation Analysis
Compensation vs Market: Tom's total compensation ($USD12.88M) is about average for companies of similar size in the US market ($USD10.81M).
Compensation vs Earnings: Tom's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 5.8yrs | US$12.88m | 0.061% $22.3m | |
| Executive VP & Chief Investment Officer | 2.1yrs | US$4.93m | 0.0084% $3.1m | |
| Senior VP | 3.6yrs | US$1.70m | 0.0029% $1.0m | |
| Senior VP | 0.4yrs | no data | 0.0023% $828.3k | |
| Vice President of Portfolio Management & Operations | 0.9yrs | no data | no data | |
| Senior Vice President of Legal & Administration | 3.1yrs | no data | no data | |
| Head of Development | 0.9yrs | no data | no data | |
| VP & Head of Human Capital | 0.4yrs | no data | no data | |
| Senior Vice President of Relationship Management | 2.1yrs | no data | no data | |
| Senior VP & Global Head of Seniors Housing | 4.4yrs | no data | no data |
2.1yrs
Average Tenure
46yo
Average Age
Experienced Management: WELL's management team is considered experienced (2.1 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 5.8yrs | US$12.88m | 0.061% $22.3m | |
| Independent Director | 21.1yrs | US$296.49k | 0.017% $6.4m | |
| Independent Lead Director | 1.1yrs | US$416.99k | 0.010% $3.7m | |
| Independent Director | 4.1yrs | US$259.99k | 0.0019% $696.4k | |
| Independent Director | 26.1yrs | US$296.49k | 0.013% $4.8m | |
| Independent Director | 1yrs | no data | 0.00097% $355.5k | |
| Independent Director | 1.3yrs | US$22.29k | 0.0010% $370.2k | |
| Independent Director | 5.5yrs | US$267.49k | 0.0026% $960.3k | |
| Independent Director | 1.3yrs | US$22.29k | 0.0010% $370.2k |
1.3yrs
Average Tenure
62yo
Average Age
Experienced Board: WELL's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 7.6%.
Top Shareholders
Company Information
Welltower Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Welltower Inc.
- Ticker: WELL
- Exchange: NYSE
- Founded: 1970
- Industry: Health Care REITs
- Sector: Real Estate
- Market Cap: US$36.651b
- Shares outstanding: 410.33m
- Website: https://www.welltower.com
Number of Employees
Location
- Welltower Inc.
- 4500 Dorr Street
- Toledo
- Ohio
- 43615
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| WELL | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1980 |
| HCW | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1980 |
| 0LUS | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1980 |
| W1EL34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 2 REPR 1 SHS UNSPON | BR | BRL | Jan 2020 |
Biography
Welltower Inc. (NYSE:WELL), an S&P 500 company headquartered in Toledo, Ohio, is driving the transformation of health care infrastructure. The Company invests with leading seniors housing operators, post-acute providers and health systems to fund the real estate infrastructure needed to scale innovative care delivery models and improve people's wellness and overall health care experience. Welltower, a real estate investment trust ("REIT"), owns interests in properties concentrated in major, high-growth markets in the United States, Canada and the United Kingdom, consisting of seniors housing and post-acute communities and outpatient medical properties.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/16 23:41 |
| End of Day Share Price | 2020/02/14 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.