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Medical Properties (MPW) Stock Slides as Market Rises: Facts to Know Before You Trade

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In the latest trading session, Medical Properties (MPW - Free Report) closed at $5.40, marking a -2.53% move from the previous day. This change lagged the S&P 500's daily gain of 0.37%. Meanwhile, the Dow experienced a drop of 0.14%, and the technology-dominated Nasdaq saw an increase of 0.71%.

Shares of the health care real estate investment trust have appreciated by 20.17% over the course of the past month, outperforming the Finance sector's gain of 2.07%, and the S&P 500's gain of 4.26%.

The upcoming earnings release of Medical Properties will be of great interest to investors. It is anticipated that the company will report an EPS of $0.16, marking stability compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $249.35 million, up 10.41% from the prior-year quarter.

MPW's full-year Zacks Consensus Estimates are calling for earnings of $0.63 per share and revenue of $945.01 million. These results would represent year-over-year changes of -21.25% and -5.08%, respectively.

It is also important to note the recent changes to analyst estimates for Medical Properties. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Medical Properties is currently a Zacks Rank #3 (Hold).

Looking at valuation, Medical Properties is presently trading at a Forward P/E ratio of 8.86. This expresses a discount compared to the average Forward P/E of 11.38 of its industry.

The REIT and Equity Trust - Other industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 142, finds itself in the bottom 43% echelons of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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