Michael Lewis, an analyst from Truist Financial, maintained the Buy rating on American Healthcare REIT, Inc. (AHR – Research Report). The associated price target was raised to $32.00.
Michael Lewis has given his Buy rating due to a combination of factors that highlight American Healthcare REIT, Inc.’s strong financial position and growth potential. The company has successfully reduced its financial leverage, bringing its net debt to EBITDA ratio to 4.3x by the end of 2024, which positions it well for external growth opportunities. Additionally, the company’s balance sheet strength and high earnings growth profile stand out within the coverage universe, making it an attractive investment.
Furthermore, despite the stock’s significant appreciation over the past year, it remains appealing on a PEG ratio and risk-adjusted basis. The company’s management has demonstrated the ability to adapt to potential Medicaid revenue headwinds by adjusting the bed mix, which adds a layer of operational flexibility. These factors, combined with robust same-store NOI growth projections and strategic acquisitions, underpin Lewis’s confidence in the stock’s future performance.
Lewis covers the Real Estate sector, focusing on stocks such as Equity Residential, Community Healthcare, and Cousins Properties. According to TipRanks, Lewis has an average return of 9.0% and a 62.88% success rate on recommended stocks.
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