Financial Survey: American Healthcare REIT (NYSE:AHR) vs. W. P. Carey (NYSE:WPC)

W. P. Carey (NYSE:WPC) and American Healthcare REIT (NYSE:AHR) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, earnings, dividends, risk, profitability, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares W. P. Carey and American Healthcare REIT’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
W. P. Carey	$1.64 billion	7.77	$708.33 million	$2.63	22.16
American Healthcare REIT	$1.95 billion	1.33	-$71.47 million	N/A	N/A

W. P. Carey has higher earnings, but lower revenue than American Healthcare REIT.

Dividends

W. P. Carey pays an annual dividend of $3.48 per share and has a dividend yield of 6.0%. American Healthcare REIT pays an annual dividend of $1.00 per share and has a dividend yield of 5.1%. W. P. Carey pays out 132.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Insider and Institutional Ownership

73.7% of W. P. Carey shares are held by institutional investors. Comparatively, 16.7% of American Healthcare REIT shares are held by institutional investors. 1.1% of W. P. Carey shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares W. P. Carey and American Healthcare REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
W. P. Carey	34.83%	6.50%	3.18%
American Healthcare REIT	-2.77%	-3.26%	-1.15%

Analyst Ratings

This is a breakdown of current ratings and price targets for W. P. Carey and American Healthcare REIT, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
W. P. Carey	1	9	2	0	2.08
American Healthcare REIT	0	1	7	0	2.88

W. P. Carey presently has a consensus target price of $60.91, indicating a potential upside of 4.51%. American Healthcare REIT has a consensus target price of $17.75, indicating a potential downside of 9.76%. Given W. P. Carey’s higher probable upside, analysts plainly believe W. P. Carey is more favorable than American Healthcare REIT.

Summary

W. P. Carey beats American Healthcare REIT on 9 of the 13 factors compared between the two stocks.

About W. P. Carey

W. P. Carey ranks among the largest net lease REITs with a well-diversified portfolio of high-quality, operationally critical commercial real estate, which includes 1,424 net lease properties covering approximately 173 million square feet and a portfolio of 89 self-storage operating properties as of December 31, 2023. With offices in New York, London, Amsterdam and Dallas, the company remains focused on investing primarily in single-tenant, industrial, warehouse and retail properties located in the U.S. and Northern and Western Europe, under long-term net leases with built-in rent escalations.

About American Healthcare REIT

Formed by the successful merger of Griffin-American Healthcare REIT III and Griffin-American Healthcare REIT IV, as well as the acquisition of the business and operations of American Healthcare Investors, American Healthcare REIT is one of the larger healthcare-focused real estate investment trusts globally with assets totaling approximately $4.2 billion in gross investment value. The company benefits from a fully integrated management platform comprised of more than one hundred experienced and skilled professionals, many of whom have worked together since 2006 and have successfully invested in and managed healthcare real estate through multiple market cycles. The management team has a proven track record, deep industry relationships and unparalleled insight into each of the company's assets having built and nurtured the company's international portfolio since its original property acquisition in 2014. The strength of the management team, coupled with the quality of the assets, has American Healthcare REIT poised to capitalize on compelling growth driven by powerful demographic trends. With its 19 million-square-foot, 312-building portfolio of medical office buildings, senior housing communities, skilled nursing facilities and integrated senior health campuses diversified across 36 states and the United Kingdom, the tri-party transaction was a critical step in ideally positioning American Healthcare REIT for a future public listing or IPO on a national stock exchange at the most opportune time. By listing the company's shares on a national exchange, we believe the company will gain greater access to attractive capital that will fuel future growth, broaden our investor base and also provide liquidity to our fellow stockholders. American Healthcare REIT, Inc. operates as a subsidiary of Griffin Capital Company, LLC.