Head-To-Head Analysis: Medical Properties Trust (MPT) vs. Its Competitors

Medical Properties Trust (NYSE:MPT) is one of 64 public companies in the “Real Estate Investment Trusts” industry, but how does it compare to its peers? We will compare Medical Properties Trust to related businesses based on the strength of its profitability, valuation, risk, institutional ownership, earnings, analyst recommendations and dividends.

Volatility & Risk

Medical Properties Trust has a beta of 1.39, suggesting that its stock price is 39% more volatile than the S&P 500. Comparatively, Medical Properties Trust’s peers have a beta of 1.22, suggesting that their average stock price is 22% more volatile than the S&P 500.

Profitability

This table compares Medical Properties Trust and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Medical Properties Trust	-28.50%	-5.87%	-1.85%
Medical Properties Trust Competitors	-47.74%	-21.48%	-0.44%

Insider and Institutional Ownership

71.8% of Medical Properties Trust shares are owned by institutional investors. Comparatively, 62.1% of shares of all “Real Estate Investment Trusts” companies are owned by institutional investors. 1.3% of Medical Properties Trust shares are owned by company insiders. Comparatively, 7.3% of shares of all “Real Estate Investment Trusts” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations for Medical Properties Trust and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Medical Properties Trust	1	0	0	0	1.00
Medical Properties Trust Competitors	1981	3411	1770	15	1.97

As a group, “Real Estate Investment Trusts” companies have a potential upside of 25.19%. Given Medical Properties Trust’s peers stronger consensus rating and higher possible upside, analysts clearly believe Medical Properties Trust has less favorable growth aspects than its peers.

Dividends

Medical Properties Trust pays an annual dividend of $0.36 per share and has a dividend yield of 7.6%. Medical Properties Trust pays out -78.3% of its earnings in the form of a dividend. As a group, “Real Estate Investment Trusts” companies pay a dividend yield of 3.5% and pay out 103.6% of their earnings in the form of a dividend. Medical Properties Trust is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Valuation & Earnings

This table compares Medical Properties Trust and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Medical Properties Trust	$972.02 million	-$277.05 million	-10.26
Medical Properties Trust Competitors	$480.72 million	$609,607.84	26.44

Medical Properties Trust has higher revenue, but lower earnings than its peers. Medical Properties Trust is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Medical Properties Trust peers beat Medical Properties Trust on 8 of the 15 factors compared.

Medical Properties Trust Company Profile

Medical Properties Trust, Inc. is a self-advised real estate investment trust formed to capitalize on the changing trends in healthcare delivery by acquiring and developing net-leased healthcare facilities. MPT’s financing model allows hospitals and other healthcare facilities to unlock the value of their underlying real estate in order to fund facility improvements, technology upgrades, staff additions and new construction. Facilities include acute care hospitals, inpatient rehabilitation hospitals, long-term acute care hospitals, and other medical and surgical facilities.