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What's in the Offing for Ventas Stock This Earnings Season?
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Key Takeaways
Ventas is set to report Q1 2026 results with projected YoY growth in revenues and FFO per share.
VTR's SHOP segment likely benefited from high occupancy and demand from an aging population.
Higher interest expenses and weaker triple-net lease income may weigh on overall performance.
Ventas, Inc. (VTR - Free Report) is scheduled to report first-quarter 2026 results on April 27, after market close. The quarterly results are likely to display year-over-year growth in revenues and normalized funds from operations (FFO) per share.
In the last reported quarter, this Chicago-based healthcare real estate investment trust (REIT) delivered a normalized FFO per share of 89 cents, meeting the Zacks Consensus Estimate. The quarterly results reflected a year-over-year increase in same-store cash net operating income on strong performance in the senior housing operating portfolio (SHOP) and outpatient medical research (OM&R) portfolio.
Over the preceding four quarters, Ventas’ normalized FFO per share surpassed the Zacks Consensus Estimate on three occasions and missed once, with the average beat being 1.49%. The graph below depicts this surprise history:
In the first quarter, Ventas’ SHOP is likely to have benefited from an aging U.S. population and a rise in healthcare expenditure by this age cohort, which is generally higher than the average population. With the segment witnessing positive net move-ins, occupancy is expected to have remained high.
A well-diversified tenant base with long-term leases is expected to have contributed well to stable rental revenue generation, boosting the top line.
However, the triple-net leased properties are likely to have been affected during the to-be-reported quarter. Further, high interest expenses are expected to have cast a pall on the company’s performance to some extent.
VTR’s Q1 Projections
The Zacks Consensus Estimate for first-quarter revenues is currently pegged at $1.58 billion, implying a 16.7% increase from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for first-quarter resident fees and services is pegged at $1.22 billion, suggesting an increase from $968.9 million reported in the year-ago period.
The consensus mark for OM&R portfolio rental income for the first quarter is pegged at $228.9 million, indicating an increase from $221.3 million reported in the year-ago period.
Ventas’ activities during the soon-to-be-reported quarter were adequate to gain analysts’ confidence. The Zacks Consensus Estimate for first-quarter FFO per share has increased a cent to 91 cents over the past two months. The figure implies an increase of 8.3% from the year-ago quarter’s reported number.
However, the Zacks Consensus Estimate for first-quarter triple-net leased properties' rental income is pegged at $125 million, suggesting a decrease from $156.1 million reported in the year-ago period.
What Our Quantitative Model Predicts
Our proven model is likely to predict a surprise in terms of FFO per share for Ventas this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an FFO beat, which is the case here.
Ventas currently has an Earnings ESP of +0.62% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks That Warrant a Look
Here are two stocks from the broader REIT industry — BXP, Inc. (BXP - Free Report) and Cousins Properties (CUZ - Free Report) — that you may want to consider, as our model shows that these have the right combination of elements to report a surprise this quarter.
Cousins Properties is slated to report quarterly numbers on April 29. VTR has an Earnings ESP of +0.94% and carries a Zacks Rank of 3 at present.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
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What's in the Offing for Ventas Stock This Earnings Season?
Key Takeaways
Ventas, Inc. (VTR - Free Report) is scheduled to report first-quarter 2026 results on April 27, after market close. The quarterly results are likely to display year-over-year growth in revenues and normalized funds from operations (FFO) per share.
In the last reported quarter, this Chicago-based healthcare real estate investment trust (REIT) delivered a normalized FFO per share of 89 cents, meeting the Zacks Consensus Estimate. The quarterly results reflected a year-over-year increase in same-store cash net operating income on strong performance in the senior housing operating portfolio (SHOP) and outpatient medical research (OM&R) portfolio.
Over the preceding four quarters, Ventas’ normalized FFO per share surpassed the Zacks Consensus Estimate on three occasions and missed once, with the average beat being 1.49%. The graph below depicts this surprise history:
Ventas, Inc. Price and EPS Surprise
Ventas, Inc. price-eps-surprise | Ventas, Inc. Quote
Factors at Play
In the first quarter, Ventas’ SHOP is likely to have benefited from an aging U.S. population and a rise in healthcare expenditure by this age cohort, which is generally higher than the average population. With the segment witnessing positive net move-ins, occupancy is expected to have remained high.
A well-diversified tenant base with long-term leases is expected to have contributed well to stable rental revenue generation, boosting the top line.
However, the triple-net leased properties are likely to have been affected during the to-be-reported quarter. Further, high interest expenses are expected to have cast a pall on the company’s performance to some extent.
VTR’s Q1 Projections
The Zacks Consensus Estimate for first-quarter revenues is currently pegged at $1.58 billion, implying a 16.7% increase from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for first-quarter resident fees and services is pegged at $1.22 billion, suggesting an increase from $968.9 million reported in the year-ago period.
The consensus mark for OM&R portfolio rental income for the first quarter is pegged at $228.9 million, indicating an increase from $221.3 million reported in the year-ago period.
Ventas’ activities during the soon-to-be-reported quarter were adequate to gain analysts’ confidence. The Zacks Consensus Estimate for first-quarter FFO per share has increased a cent to 91 cents over the past two months. The figure implies an increase of 8.3% from the year-ago quarter’s reported number.
However, the Zacks Consensus Estimate for first-quarter triple-net leased properties' rental income is pegged at $125 million, suggesting a decrease from $156.1 million reported in the year-ago period.
What Our Quantitative Model Predicts
Our proven model is likely to predict a surprise in terms of FFO per share for Ventas this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an FFO beat, which is the case here.
Ventas currently has an Earnings ESP of +0.62% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks That Warrant a Look
Here are two stocks from the broader REIT industry — BXP, Inc. (BXP - Free Report) and Cousins Properties (CUZ - Free Report) — that you may want to consider, as our model shows that these have the right combination of elements to report a surprise this quarter.
BXP, scheduled to report quarterly numbers on April 28, has an Earnings ESP of +0.17% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Cousins Properties is slated to report quarterly numbers on April 29. VTR has an Earnings ESP of +0.94% and carries a Zacks Rank of 3 at present.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.