Core Insights - Welltower (WELL) reported quarterly funds from operations (FFO) of $1.13 per share, exceeding the Zacks Consensus Estimate of $1.12 per share, and up from $0.96 per share a year ago [1][2] - The company achieved revenues of $2.25 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 6.02%, compared to $1.75 billion in the same quarter last year [3] - Welltower has consistently outperformed consensus estimates, surpassing FFO estimates in all four of the last quarters and revenue estimates three times in the same period [2][3] Financial Performance - The FFO surprise for the recent quarter was 0.89%, and the company had a previous quarter FFO of $1.11, which was also above expectations by 6.73% [2] - The current consensus FFO estimate for the upcoming quarter is $1.15 on revenues of $2.21 billion, and for the current fiscal year, it is $4.79 on revenues of $8.93 billion [8] Market Position - Welltower shares have increased approximately 13.6% since the beginning of the year, significantly outperforming the S&P 500's gain of 3.1% [4] - The Zacks Rank for Welltower is currently 2 (Buy), indicating expectations for the stock to outperform the market in the near future [7] Industry Context - The REIT and Equity Trust - Other industry, to which Welltower belongs, is currently ranked in the bottom 30% of over 250 Zacks industries, which may impact stock performance [9] - The performance of Welltower may also be influenced by the overall outlook for the industry, as empirical research indicates a strong correlation between stock movements and estimate revisions [6][9]

Financial Performance - Total NOI for 4Q23 was $509,429,000, projected to increase to $574,859,000 in 4Q24, representing a 12.8% growth[4] - Total revenues for Q4 2023 reached $1,284,698, increasing to $1,808,025 by Q4 2024, representing a growth of approximately 40.7%[10] - Net income for the twelve months ended December 31, 2024, was $972,857,000, with a quarterly net income of $123,753,000[54] - EBITDA for the twelve months ended December 31, 2024, was $3,181,911,000, with a quarterly EBITDA of $758,742,000[54] - Adjusted EBITDA for the twelve months ended December 31, 2024, was $3,151,811,000, with a quarterly adjusted EBITDA of $853,085,000[54] - Consolidated net operating income (NOI) for Q4 2023 was $713,697,000, expected to rise to $841,530,000 by Q4 2024[87] - Same store NOI for Q4 2024 is projected to grow by 12.8% year-over-year, reaching $574,859,000[94] Property Operations - Seniors Housing Operating properties achieved a 4Q23 NOI of $240,443,000, with a projected increase to $297,809,000 in 4Q24, reflecting a 23.9% increase[4] - Outpatient Medical properties reported a 4Q23 NOI of $127,636,000, expected to rise to $130,186,000 in 4Q24, a 2.0% increase[4] - The occupancy rate for Seniors Housing Operating properties was 86.1%, while Outpatient Medical properties had a higher occupancy rate of 94.3%[5] - Total occupancy improved from 82.2% in Q4 2023 to 84.8% in Q4 2024, indicating a growth of 3.2 percentage points[10] - The company operates a total of 2,073 properties, with 1,754 located in the United States, representing 83.6% of the total portfolio[9] Revenue and Expense Trends - Same store revenues increased from $1,016,211 in Q4 2023 to $1,105,708 in Q4 2024, reflecting a year-over-year growth rate of 8.8%[10] - The NOI margin for the total portfolio is projected to be 24.4% in Q4 2024, down from 23.6% in Q4 2023[10] - Recurring capital expenditures are expected to rise from $49,297 in Q4 2023 to $75,822 in Q4 2024, an increase of 53.9%[10] - The company reported a total of 2,271 properties, with 1,557 classified as same store properties[89] Investment and Development - The total gross investments for the period reached $2,419,409,000, with an acquisition yield of 8.2%[28] - The company completed 62 acquisitions and loan funding transactions, totaling $2,186,059,000 in Q4 2024[28] - The company has committed $1,654,180 for future funding across 33 seniors housing operating projects, with stable yields projected at 7.5%[40] - The company has 60 development projects in progress, including 45 seniors housing operating projects and 15 outpatient medical projects[38] - The estimated conversion for development projects in 2024 is projected at $3,047,717, with stable yields averaging 7.3%[41] Debt and Equity - Total debt stands at $16,702,077,000, with senior unsecured notes accounting for $13,326,465,000[44] - The company reported a total equity of $32,572,586,000, which is 73.25% of consolidated book capitalization[57] - The weighted average interest rate on total debt was 3.86%[60] - Net debt to EBITDA ratio was 3.92x, and net debt to adjusted EBITDA ratio was 3.49x[54] Market Strategy and Future Outlook - Future growth strategies include potential market expansions and new product developments to enhance service offerings[3] - The company anticipates continued market expansion and investment in innovative care delivery models to enhance healthcare infrastructure[107] - The company plans to continue expanding its market presence through strategic acquisitions and development conversions[90] - Welltower operates in major high-growth markets across the United States, Canada, and the United Kingdom, focusing on seniors housing and post-acute communities[107]

TOLEDO, Ohio, Feb. 11, 2025 /PRNewswire/ -- Welltower Inc. (NYSE:WELL) today announced results for the quarter ended December 31, 2024.Fourth Quarter and Other Recent Highlights Reported net income attributable to common stockholders of $0.19 per diluted share Reported quarterly normalized funds from operations attributable to common stockholders of $1.13 per diluted share, an increase of 17.7% over the prior year Reported total portfolio year-over-year same store NOI ("SSNOI") growth of 12.8%, driven by SS ...

As of Feb. 11, 2025, two stocks in the real estate sector could be flashing a real warning to investors who value momentum as a key criteria in their trading decisions.The RSI is a momentum indicator, which compares a stock’s strength on days when prices go up to its strength on days when prices go down. When compared to a stock’s price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered overbought when the RSI is above 70, according to B ...

Analysts on Wall Street project that Welltower (WELL) will announce quarterly earnings of $1.12 per share in its forthcoming report, representing an increase of 16.7% year over year. Revenues are projected to reach $2.12 billion, increasing 21.3% from the same quarter last year.Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 0.2% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this peri ...

Welltower, Inc. (WELL) recently announced that its affiliate plans to acquire NorthStar Healthcare and its portfolio of 40 senior living communities in an all-cash transaction for approximately $900 million.The proposed acquisition, subject to customary closing conditions, is expected to close in the first half of 2025. The acquisition has been unanimously approved by NorthStar Healthcare's board of directors, while shareholders of NorthStar Healthcare will vote on the merger at a special meeting. The merge ...

TOLEDO, Ohio and KANSAS CITY, Mo., Jan. 29, 2025 /PRNewswire/ -- Welltower® Inc (NYSE: WELL) ("Welltower") and NorthStar Healthcare Income, Inc. ("NorthStar Healthcare"), an internally managed, public, non-listed real estate investment trust (REIT) that owns a diversified portfolio of seniors housing properties located throughout the United States, today announced that NorthStar Healthcare has entered into a definitive merger agreement to be acquired by an affiliate of Welltower, in an all cash transaction ...

Business Launch and Strategy - Welltower Inc announces the launch of its private funds management business to manage third-party capital, focusing on healthcare and wellness real estate sectors [1] - The first fund will be anchored by a wholly owned subsidiary of ADIA, committing 20% or up to $400 million, with Welltower and its management also contributing 20% of the LP capital up to $400 million [1] - The new business aims to identify and acquire seniors housing portfolios in the US, leveraging Welltower's data science platform and industry relationships [2] Market Opportunities and Acquisitions - The seniors housing sector presents attractive acquisition opportunities due to fragmented ownership and motivated sellers addressing debt maturities [3] - Welltower has deployed nearly $20 billion in capital since Q4 2020, establishing a strong network for sourcing opportunities [2] - The initial investment includes a portfolio of six seniors housing communities for $240 million, with 778 units, 92% occupancy, and 31% NOI margins [4] - Welltower is under contract to acquire NorthStar Healthcare Income Inc, comprising 40 seniors housing communities with 4,886 units, for an enterprise value of approximately $900 million [5] Strategic Benefits and Leadership - The private funds management business is expected to generate significant revenue through asset management fees and carried interest [6] - The new business will support talent retention and career growth, with management's carried interest allocated to emerging leaders [7] - Welltower's data science platform, powered by AI, will enhance the network effect and create a competitive advantage for the funds management business [7] Industry Outlook and Growth - Welltower anticipates a protracted period of compounding cash flow growth in the seniors housing sector, with expanding capital deployment opportunities [4] - The company's regional densification strategy aims to reduce employee turnover and enhance stakeholder satisfaction [7] - Welltower's leadership team and private funds management business will drive long-term compounding of per share cash flows for existing owners [8]

Shares of Welltower (WELL) have gained 18.5% in the past six months, outperforming the industry's decline of 6%.Welltower owns a well-diversified portfolio of healthcare real estate assets in the key markets of the United States, Canada and the U.K. Given an aging population and an expected rise in senior citizens’ healthcare expenditure, Welltower’s senior housing operating (SHO) segment is well-poised to benefit from this positive trend. The outpatient medical (OM) portfolio is expected to benefit from fa ...

Welltower Inc.’s (WELL) senior housing operating (SHO) portfolio is well-poised to benefit from an aging population and a rise in healthcare expenditure by senior citizens. Moreover, favorable outpatient visit trends in the outpatient medical (OM) portfolio bode well for long-term growth. However, competition in the senior housing market pose key concern.Analysts seem positive about this Zacks Rank #3 (Hold) company. The Zacks Consensus Estimate for its 2024 FFO per share has been revised marginally upward ...