Have you been eager to see how Ventas, Inc. (VTR - Free Report) performed in Q2 in comparison with the market expectations? Let’s quickly scan through the key facts from this Chicago, IL-based healthcare real estate investment trust (“REIT”) earnings release this morning:
An In-line FFO
Ventas came out with second-quarter 2016 normalized funds from operations (“FFO”) per share of $1.04, in-line with the Zacks Consensus Estimate.
Important quarterly highlights were robust performance of the high-quality healthcare and senior living properties and accretive acquisitions.
How Was the Estimate Revision Trend?
Ventas has a decent earnings surprise history. Before posting an in-line Q2 results, the company delivered positive surprises in all the trailing four quarters. Overall, the company surpassed the Zacks Consensus Estimate by an average of 2.1% in the trailing four quarters.
Revenue Came In Higher Than Expected
Ventas posted revenues of $848.4 million, which beat the Zacks Consensus Estimate of $837 million. Further, it compared favorably with the year-ago number of $811.9 million.
Key Developments to Note
Ventas revised its 2016 normalized FFO per share outlook in the range of $4.05 – $4.13, denoting expected growth of 3–5% from 2015 on a comparable basis. However, this marks a downward revision from the earlier range of $4.07 – $4.15, due to the dilutive impact of pre-funding a part of the Wexford acquisition with equity and additional deleveraging.
Like earlier predication, the company anticipates same-store cash net operating income growth of 2–3% in 2016, from the previous guidance of 1.5–3%. Further, Ventas estimates 2016 dispositions of $500 million and intends to use the net proceeds from disposition for reinvestment into acquisition and debt repayment.
What Zacks Rank Says
Ventas has a Zacks Rank #2 (Buy). However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change.
Check back later for our full write up on this VTR earnings report later!
Note: All EPS numbers presented in this write-up represent funds from operations (“FFO”) per share. FFO, a widely used metric to gauge the performance of REITs, is obtained after adding depreciation and amortization and other non-cash expenses to net income.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Have you been eager to see how Ventas, Inc. (VTR - Free Report) performed in Q2 in comparison with the market expectations? Let’s quickly scan through the key facts from this Chicago, IL-based healthcare real estate investment trust (“REIT”) earnings release this morning:
An In-line FFO
Ventas came out with second-quarter 2016 normalized funds from operations (“FFO”) per share of $1.04, in-line with the Zacks Consensus Estimate.
Important quarterly highlights were robust performance of the high-quality healthcare and senior living properties and accretive acquisitions.
How Was the Estimate Revision Trend?
Ventas has a decent earnings surprise history. Before posting an in-line Q2 results, the company delivered positive surprises in all the trailing four quarters. Overall, the company surpassed the Zacks Consensus Estimate by an average of 2.1% in the trailing four quarters.
Revenue Came In Higher Than Expected
Ventas posted revenues of $848.4 million, which beat the Zacks Consensus Estimate of $837 million. Further, it compared favorably with the year-ago number of $811.9 million.
Key Developments to Note
Ventas revised its 2016 normalized FFO per share outlook in the range of $4.05 – $4.13, denoting expected growth of 3–5% from 2015 on a comparable basis. However, this marks a downward revision from the earlier range of $4.07 – $4.15, due to the dilutive impact of pre-funding a part of the Wexford acquisition with equity and additional deleveraging.
Like earlier predication, the company anticipates same-store cash net operating income growth of 2–3% in 2016, from the previous guidance of 1.5–3%. Further, Ventas estimates 2016 dispositions of $500 million and intends to use the net proceeds from disposition for reinvestment into acquisition and debt repayment.
What Zacks Rank Says
Ventas has a Zacks Rank #2 (Buy). However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change.
Check back later for our full write up on this VTR earnings report later!
Note: All EPS numbers presented in this write-up represent funds from operations (“FFO”) per share. FFO, a widely used metric to gauge the performance of REITs, is obtained after adding depreciation and amortization and other non-cash expenses to net income.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Get the latest research report on VTR - FREE