As of the 4th quarter, Envestnet Asset Management Inc. has lessened its stake in shares of Physicians Realty Trust by over 20% according to recent filings with the SEC. The institutional investor had originally owned a sizable amount of stock, to the tune of 266,976 shares valued at $3,863,000. However, they’ve since sold off approximately 67,278 shares during this period.
Physicians Realty Trust is a real estate investment trust that specializes in healthcare properties such as medical office buildings and treatment facilities. Interestingly enough, their opening stock price on May 16th sits at $14.40 – just slightly lower than their fifty-day moving average ($14.51), but significantly lower than their two-hundred day moving average ($14.80). With a market cap of over $3 billion and a PE ratio north of 30, it’s clear that analysts have been keeping an eye on this company for some time.
While this recent news may seem discouraging to shareholders invested in Physicians Realty Trust, it’s important to remember that these types of shifts are often commonplace within investing circles. Institutions and investors regularly adjust the amounts and types of holdings they maintain within their portfolios in order to balance risk and preserve returns.
Despite some turbulence in recent months due to the ongoing pandemic and economic uncertainty, Physicians Realty Trust remains a solid contender within the sphere of real estate investment trusts focused on healthcare properties. As always though, time will tell how these recent developments impact both short-term performance as well as prospects for long-term growth potential.
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Mixed Analyst Reaction to Physicians Realty Trust (DOC)
Physicians Realty Trust (DOC) is a real estate investment trust (REIT) that has recently garnered the attention of several large investors, including Vanguard Group Inc., State Street Corp, and Goldman Sachs Group Inc. These institutional investors have all increased their stake in DOC by varying percentages, with Goldman Sachs boosting their ownership by an impressive 527% during the second quarter.
Despite these investments, some analysts are not so optimistic about the company’s future. Wells Fargo & Company gave DOC an “underweight” rating and set a price objective of $14.00 in a research report published on April 19th. Similarly, Barclays dropped their target price from $18.00 to $17.00 in early May.
Other analysts remain more supportive of DOC’s potential for growth. Compass Point decreased their target price from $21.00 to $19.00 but maintained a “buy” rating for the company in a March 2017 report, while Royal Bank of Canada also dropped their target price but still rated the stock as “sector perform.”
Investors who purchased shares prior to April 4th were paid a $0.23 quarterly dividend on April 18th, equaling an annualized dividend rate of $0.92 and representing a dividend yield of 6.39%.
Overall, the consensus among analysts appears mixed when it comes to Physicians Realty Trust’s prospects for success moving forward. However, with institutional investors continuing to show interest in DOC and its dividend payout ratio sitting at an impressive 209.09%, it seems likely that this real estate investment trust will experience continued scrutiny from both Wall Street and Main Street alike in the coming months and years ahead.
