Portfolio Overview - As of December 31, 2025, the portfolio included 366 Skilled Nursing Facilities (SNFs) and 208 senior housing communities, with a total of 37,898 operational beds[45]. - The portfolio included 131 U.K. Care Homes, 54 Assisted Living Communities, and 12 Independent Living Communities as of December 31, 2025[50]. - The company has a total of 37,898 beds/units across its properties as of December 31, 2025, up from 28,088 in 2024, indicating a growth in capacity[58]. Industry Trends - The nursing home industry saw a decline from over 15,600 facilities in July 2016 to approximately 14,742 facilities in July 2025, indicating a widening supply and demand imbalance[44]. - The U.S. Census estimates that the population over 65 years old will nearly double from 2020 to 2060, supporting increased demand for skilled nursing and senior housing services[44]. - Projected expenditures for nursing home care facilities and continuing care retirement are expected to grow from approximately $228.8 billion in 2024 to approximately $385.9 billion in 2033[44]. Revenue and Financial Performance - Total revenue for the year ended December 31, 2025, was $369,419,000, a significant increase from $228,261,000 in 2024, representing a growth of approximately 62%[66]. - Skilled nursing triple-net properties generated revenue of $275,077,000, accounting for 74% occupancy, while senior housing triple-net properties generated $93,117,000 with 86% occupancy as of December 31, 2025[58]. - Annualized contractual rental income from the Original Ensign Leases was $79.6 million, representing 19% of total annualized contractual rental income as of December 31, 2025[48]. - The Ensign Master Leases generated annualized contractual rental income of $92.1 million, accounting for 23% of total annualized contractual rental income[48]. Geographic Concentration - The company has a geographically diverse portfolio with concentrations in California, the U.K., Texas, and Tennessee based on revenue[46]. - California accounted for 25% of total revenue in 2025, while Texas contributed 13%, indicating a geographic concentration in revenue generation[66]. Tenant Management and Creditworthiness - The company monitors tenant creditworthiness through lease coverage ratios, evaluating tenants' ability to meet their financial obligations[51]. - Ensign, the primary tenant, accounted for 23% of total annualized contractual rental income as of December 31, 2025, highlighting the financial stability of the tenant[73]. Capital Structure and Financing - Sold approximately 12.6 million shares at an average gross price of $29.34, generating gross proceeds of approximately $369.9 million under the ATM Program to fund acquisitions[75]. - Completed an underwritten public offering of 23.0 million newly issued shares at a price per share of $32.00, resulting in gross proceeds of $736.0 million to pay down debt and fund acquisitions[75]. - As of December 31, 2025, the company had $500.0 million in term loans and $400.0 million in notes payable, with $500.0 million of outstanding variable rate indebtedness[384]. - The unused portion of the Third Amended Credit Facility was $1.2 billion as of December 31, 2025, which is subject to variable rates if drawn upon[384]. Interest Rate and Financial Risks - The weighted average contractual principal balance for mortgage loans was $740,202,000 with an interest rate of 8.8%, generating interest income of $59,680,000 in 2025[64]. - An increase in interest rates could raise the costs of variable rate debt obligations and limit refinancing options, potentially increasing interest expenses[385]. - The company manages interest rate risks through interest rate swap agreements, although REIT provisions limit effective hedging capabilities[386]. Regulatory and Compliance Challenges - The company anticipates ongoing regulatory pressures in the healthcare industry, which may impact operations and financial conditions[112][113]. - Changes in reimbursement methodologies by federal and state authorities could negatively affect revenue levels for tenants and borrowers[117]. - The company is subject to complex healthcare laws and regulations, which may lead to civil, criminal, and administrative sanctions for non-compliance[114][115]. - Legislative changes and healthcare reform initiatives may impact the financial stability of tenants and borrowers, affecting their obligations to CareTrust[120][119]. Employee and Operational Insights - Employee satisfaction survey conducted with a 100% response rate and an overall satisfaction rate of 93%[106]. - CareTrust employs 43 full-time employees as of December 31, 2025, with no turnover except for one retirement[108][109]. - The company offers a comprehensive benefits package, including a 401(k) plan with a fixed employer contribution and various voluntary benefits[107]. - CareTrust's training and education initiatives support continuous learning and professional development for employees[111]. Sustainability and ESG Initiatives - Allocated up to $500,000 annually for the Tenant ESG Program to incentivize sustainable improvements at properties[102]. - Achieved 34% of leases including sustainability-related provisions by the fourth quarter of 2024[97]. - Enhanced climate risk management through tenant communications and physical climate risk assessments, identifying significant risks such as heat exposure[98]. Strategic Growth and Diversification - The company intends to diversify its asset portfolio by potentially expanding investments into behavioral health facilities and medical office buildings[68]. - Established a SHOP platform in Q4 2025, investing in three senior housing communities, which allows for direct exposure to property-level performance[72]. - Diversified business through opportunistic acquisitions and property upgrades, focusing on skilled nursing facilities and senior housing communities[85].

Core Viewpoint - CareTrust REIT, Inc. plans to release its fourth quarter and full year 2025 financial results on February 12, 2026, after U.S. markets close [1] Group 1: Financial Results Announcement - The financial results will be discussed in a conference call on February 13, 2026, at 1:00 p.m. Eastern Time [2] - The live audio webcast of the earnings conference call will be accessible on CareTrust's investor website [2] Group 2: Company Overview - CareTrust REIT, Inc. is a publicly-traded real estate investment trust focused on the ownership, acquisition, development, and leasing of skilled nursing, seniors housing, and healthcare-related properties [3] - The company has a portfolio of long-term net-leased properties in the U.S. and the U.K., and is pursuing growth opportunities both externally and organically [3]

Core Viewpoint - CareTrust REIT (CTRE) has been upgraded to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based solely on a company's changing earnings picture, which is tracked through the Zacks Consensus Estimate for EPS from sell-side analysts [1][2]. - Changes in future earnings potential, as indicated by earnings estimate revisions, are strongly correlated with near-term stock price movements [4][6]. CareTrust REIT's Earnings Outlook - The recent upgrade for CareTrust REIT reflects a positive outlook on its earnings, suggesting potential buying pressure and an increase in stock price [3][5]. - Analysts have raised their earnings estimates for CareTrust REIT, with the Zacks Consensus Estimate for the fiscal year ending December 2025 projected at $1.77 per share, showing a 0.7% increase over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have generated an average annual return of +25% since 1988 [7]. - CareTrust REIT's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10].

Core Insights - Albert Anthony is a Croatian-American business author and analyst contributing to Seeking Alpha and other financial platforms, with a focus on Real Estate Investment Trusts (REITs) [1] - He has a background in business information systems and experience at Charles Schwab, which supports his analytical capabilities in equities research [1] - Anthony operates his own boutique equities research firm, Albert Anthony & Company, remotely from Texas, and is actively involved in the REIT investment space [1] Professional Background - The author has participated in numerous business and innovation conferences in both the US and Croatia, enhancing his industry knowledge [1] - He holds a B.A. in Political Science and various certifications, including Microsoft Fundamentals and CompTIA Project+, and is pursuing further education in Capital Markets and business intelligence [1] - Anthony is also expanding his presence on YouTube, focusing on REITs and sharing insights from his investment experiences [1]

Core Insights - CareTrust REIT (NASDAQ: CTRE) focuses on acquiring, financing, and managing healthcare-related properties, primarily investing in skilled nursing, assisted living, and independent living facilities [1] - BMO Capital has set a price target of $43 for CTRE, indicating a potential upside of 16.44% from its current trading price of $36.93 [1][5] Institutional Investment Activity - Asset Management One Co. Ltd. increased its stake in CareTrust REIT by 6.9% during the third quarter, now holding 437,249 shares valued at $15.2 million, reflecting a positive outlook on CTRE's future performance [2] - Invesco Ltd. significantly increased its holdings in CTRE by 201.8%, now owning 3,772,350 shares valued at $115.4 million [2] - Daiwa Securities Group Inc. expanded its position in CareTrust REIT by an impressive 2,245.5% in the second quarter, indicating growing interest and confidence in CTRE's potential for growth [3] Stock Performance and Market Position - CareTrust REIT's stock has traded between a low of $36.35 and a high of $37.50 today, with a yearly range of $24.79 to $38.32, indicating volatility [4] - The company's market capitalization is approximately $7.14 billion, with a trading volume of 1,060,757 shares on the NYSE, suggesting it is a significant player in the healthcare REIT sector [4]

Core Viewpoint - CareTrust REIT, Inc. announced the acquisition of six skilled nursing facilities in the Mid-Atlantic for approximately $142 million, effective January 1, 2026 [1] Group 1: Acquisition Details - The acquisition includes a portfolio of 532 licensed beds [1] - The facilities will be operated by a new tenant under a long-term triple net lease [1] - The lease features annual inflation-based rent escalators and multiple renewal options [1]

Core Insights - The aging population is significantly reshaping healthcare demand, creating opportunities beyond traditional pharma and biotech sectors, particularly in healthcare real estate and senior-focused service providers [2][3] Healthcare REITs - The global senior living market is projected to grow from approximately $260 billion in 2025 to nearly $389 billion by 2032, reflecting a 5.9% CAGR driven by aging populations and increased demand for assisted living and specialized care services [4] - Senior housing REITs in the U.S. are experiencing improved occupancy rates and limited new supply, which supports rental income growth, with companies like Welltower and Ventas increasing their investments in senior housing [4] Operators and Care-Focused REITs - Companies such as Ensign, Omega, and CareTrust are closely aligned with the everyday care needs of the aging population, benefiting from the demand for skilled nursing and long-term care as seniors face more complex medical conditions [5] - These operators focus on essential care delivery that cannot be postponed, contrasting with innovation-driven healthcare segments [5] Company-Specific Developments - Welltower has made significant investments, including $2.52 billion in pro-rata acquisitions for 95 senior housing properties and plans for an additional $4 billion in acquisitions, positioning itself for long-term growth [8] - Ventas is well-prepared for growth, with the U.S. population aged 80 and above expected to increase by 28% in the next five years, indicating a strong demand for senior housing [11] - CareTrust has expanded its portfolio with strategic acquisitions, including a $40 million purchase of assisted living and memory care communities, aligning with the rising demand for senior care real estate [12][13] - Omega is showing improved revenues and operating metrics, with a strategic agreement to acquire a 9.9% equity interest in a senior healthcare operating company, enhancing its position in the market [14][15]

Group 1 - CareTrust REIT (CTRE) has shown strong growth potential, achieving high ratings in the 80s to 90s range, and is making headlines as it reaches new highs [1][4] - The stock has been recognized for its improved relative price performance, indicating a positive trend in its market strength [4] - CareTrust REIT is noted for its acquisition-minded strategy, making it a stock worth considering for investors [4] Group 2 - The stock's technical rating has been upgraded, reflecting its improved performance metrics [4] - CareTrust REIT is attempting to close in on key technical measures, which could further enhance its investment appeal [4] - The company has been highlighted for its potential to generate option premiums through covered calls, adding another layer of investment strategy [4]

Core Insights - Companies with a strong history of dividend payments and increases are attractive to income-focused investors, with Flowers Foods, CareTrust REIT, and Nexstar Media being notable examples offering yields up to approximately 8% [1] Flowers Foods - Flowers Foods has increased its dividends for 11 consecutive years, with a recent quarterly payout increase of 3.10% to $0.2475 per share, resulting in an annual dividend of $0.99 per share [3] - The current dividend yield for Flowers Foods is 8.69% [3] - The company's annual revenue as of September 30 is reported at $5.13 billion, with Q3 2025 revenues of $1.23 billion and EPS of $0.23, both meeting expectations [4] CareTrust REIT - CareTrust REIT has raised its dividends for 10 consecutive years, with the latest increase on March 18, raising the quarterly payout from $0.29 to $0.335 per share, equating to an annual figure of $1.34 per share [6] - The current dividend yield for CareTrust REIT is 3.75% [6] - The company's annual revenue as of September 30 is $324.14 million, with Q3 2025 revenues of $132.44 million and EPS of $0.45, both exceeding consensus estimates [7] Nexstar Media - Nexstar Media Group is a diversified media company involved in producing and distributing local and national news, sports, and entertainment content across television and digital platforms in the U.S. [7]

Core Insights - The article discusses the background and aspirations of an undergraduate student pursuing a degree in Electrical Engineering and Economics, highlighting a keen interest in equity research and investment management [1]. Group 1: Educational Background and Interests - The individual is studying Electrical Engineering and Economics, indicating a strong analytical foundation [1]. - There is a focus on equity research, with an aim to build a career in investment management or investment banking [1]. - The approach to evaluating investment opportunities is sector agnostic, suggesting a broad perspective on market analysis [1]. Group 2: Investment Philosophy and Strategy - The individual has learned about investing primarily through reading investment philosophy books and engaging in discussions with peers [1]. - Experience in working on equity research reports is noted, along with an interest in quantitative strategies such as portfolio optimization [1]. - The investment horizon is defined as short to medium-term, ranging from 1 to 5 years, with a focus on identifying companies before their fair price is recognized by the market [1].