Welltower Inc. [NYSE: WELL] price plunged by -0.28 percent to reach at -$0.26. The company report on February 13, 2024 at 4:07 PM that Welltower Announces Planned Acquisition of $1.0 Billion Affinity Active Adult Portfolio and Formation of Long-Term Strategic Partnership.
Welltower Inc. (NYSE: WELL) (“Welltower” or the “Company”) today announced that it plans to form a long-term strategic partnership with Affinity Living Communities (“Affinity”), a vertically integrated developer and operator of age-restricted and age-targeted Wellness Housing. Welltower is under contract to acquire a portfolio of 25 purpose-built active adult communities for $969 million through a privately negotiated, off-market transaction and also expects to enter into a long-term programmatic development agreement with Affinity.
The portfolio encompasses nearly 3,900 units predominately concentrated in the Pacific Northwest. The acquisition will enable Welltower to strategically scale the geographic reach of its Wellness Housing portfolio into markets with a projected 5-year 55+ population growth more than 2.5 times higher than the U.S. average. Post-closing, the portfolio will continue to be managed by Affinity subject to a terminable and aligned management contract.
The one-year WELL stock forecast points to a potential upside of 7.78. The average equity rating for WELL stock is currently 1.72, trading closer to a bullish pattern in the stock market.
Guru’s Opinion on Welltower Inc. [WELL]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for WELL shares is $99.61 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on WELL stock is a recommendation set at 1.72. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Deutsche Bank have made an estimate for Welltower Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on January 30, 2024. While these analysts kept the previous recommendation, JP Morgan raised their target price from $92 to $99. The new note on the price target was released on December 18, 2023, representing the official price target for Welltower Inc. stock. Previously, the target price had yet another raise from $92 to $97, while RBC Capital Mkts kept a Sector Perform rating on WELL stock. On November 09, 2023, analysts increased their price target for WELL shares from 95 to 101.
The Average True Range (ATR) for Welltower Inc. is set at 1.84, with the Price to Sales ratio for WELL stock in the period of the last 12 months amounting to 7.88. The Price to Book ratio for the last quarter was 2.04, with the Price to Cash per share for the same quarter was set at 3.65. Price to Free Cash Flow for WELL in the course of the last twelve months was 41.85.
WELL Stock Performance Analysis:
Welltower Inc. [WELL] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -2.54. With this latest performance, WELL shares gained by 5.38% in over the last four-week period, additionally plugging by 13.00% over the last 6 months – not to mention a rise of 23.68% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for WELL stock in for the last two-week period is set at 56.22, with the RSI for the last a single of trading hit 54.88, and the three-weeks RSI is set at 55.91 for Welltower Inc. [WELL]. The present Moving Average for the last 50 days of trading for this stock 89.72, while it was recorded at 92.61 for the last single week of trading, and 84.44 for the last 200 days.
WELL Stock EPS
With the latest financial reports released by the company, Welltower Inc. posted 0.05/share EPS, while the average EPS was predicted by analysts to be reported at 0.12/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -58.30%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for WELL.
Welltower Inc. [WELL] Institutonal Ownership Details
The top three institutional holders of WELL stocks are: VANGUARD GROUP INC with ownership of 1.3 billion shares, which is approximately 8.2815%. BLACKROCK INC., holding 1.03 billion shares of the stock with an approximate value of $176.59 billion in WELL stocks shares; and BERKSHIRE HATHAWAY INC, currently with $156.75 billion in WELL stock with ownership which is approximately 5.8325%.
