Head-To-Head Survey: Medical Properties Trust (MPT) versus Its Competitors

Medical Properties Trust (NYSE:MPT) is one of 87 public companies in the “Real Estate Investment Trusts” industry, but how does it contrast to its competitors? We will compare Medical Properties Trust to similar companies based on the strength of its valuation, risk, institutional ownership, dividends, earnings, profitability and analyst recommendations.

Insider and Institutional Ownership

71.8% of Medical Properties Trust shares are held by institutional investors. Comparatively, 63.6% of shares of all “Real Estate Investment Trusts” companies are held by institutional investors. 1.3% of Medical Properties Trust shares are held by company insiders. Comparatively, 8.0% of shares of all “Real Estate Investment Trusts” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Medical Properties Trust and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Medical Properties Trust	$972.02 million	-$277.05 million	-10.41
Medical Properties Trust Competitors	$473.64 million	$15.54 million	27.07

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

Volatility and 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 competitors have a beta of 1.16, suggesting that their average stock price is 16% more volatile than the S&P 500.

Profitability

This table compares Medical Properties Trust and its competitors’ 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	-36.03%	-19.16%	-0.33%

Analyst Recommendations

This is a breakdown of recent ratings for Medical Properties Trust and its competitors, 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	2345	4032	2363	20	2.01

As a group, “Real Estate Investment Trusts” companies have a potential upside of 25.87%. Given Medical Properties Trust’s competitors stronger consensus rating and higher possible upside, analysts plainly believe Medical Properties Trust has less favorable growth aspects than its competitors.

Dividends

Medical Properties Trust pays an annual dividend of $0.36 per share and has a dividend yield of 7.5%. 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 3.8% and pay out 105.0% of their earnings in the form of a dividend. Medical Properties Trust is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Summary

Medical Properties Trust competitors 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.