Medical Properties Trust Sees Unusually High Options Volume (NYSE:MPT)

Medical Properties Trust, Inc. (NYSE:MPT) was the recipient of some unusual options trading activity on Friday. Stock traders bought 58,435 call options on the stock. This is an increase of approximately 258% compared to the typical daily volume of 16,316 call options.

Analysts Set New Price Targets

A number of equities analysts have issued reports on the company. Weiss Ratings lowered Medical Properties Trust from a “sell (d+)” rating to a “sell (d)” rating in a research note on Tuesday, August 18th. Royal Bank Of Canada cut Medical Properties Trust from a “sector perform” rating to an “underperform” rating and lowered their price target for the company from $4.50 to $2.00 in a research report on Friday. Finally, Wells Fargo & Company dropped their price objective on Medical Properties Trust from $5.00 to $3.80 and set an “underweight” rating on the stock in a research note on Tuesday, September 1st. Three investment analysts have rated the stock with a Sell rating. Based on data from MarketBeat.com, the stock presently has an average rating of “Strong Sell” and an average price target of $2.90.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the business. Continuum Advisory LLC acquired a new stake in shares of Medical Properties Trust in the 2nd quarter valued at $31,000. CoreCap Advisors LLC acquired a new stake in shares of Medical Properties Trust during the 3rd quarter worth about $27,000. Nykredit A S acquired a new stake in shares of Medical Properties Trust during the 2nd quarter worth about $41,000. NFSG Corp bought a new position in Medical Properties Trust during the 3rd quarter valued at about $34,000. Finally, Frank Rimerman Advisors LLC bought a new position in Medical Properties Trust during the 3rd quarter valued at about $35,000. Hedge funds and other institutional investors own 71.79% of the company’s stock.

Trending Headlines about Medical Properties Trust

Here are the key news stories impacting Medical Properties Trust this week:

• Positive Sentiment: Unusually heavy options activity provided a speculative bullish signal: traders purchased 58,435 MPT call options, roughly 258% above typical daily volume.
• Positive Sentiment: Some investors remain optimistic that progress on asset sales could improve liquidity and reduce balance-sheet pressure. One analysis characterized the selloff as a potential buying opportunity, although this view is highly speculative. Medical Properties Trust’s Collapse Offers A Golden Buying Opportunity
• Neutral Sentiment: Third-quarter revenue increased 5.3% year over year to $250.14 million, but the improvement was offset by profitability issues, including a negative net margin and negative return on equity. Medical Properties Trust Reports Third-Quarter Results
• Negative Sentiment: MPT reported third-quarter normalized FFO of $0.11 per share, below the $0.13 consensus estimate and down from $0.13 a year earlier. The revenue and FFO misses increased concerns about the REIT’s operating performance. Medical Properties Q3 FFO and Revenues Miss Estimates
• Negative Sentiment: Tenant troubles reportedly prevented payment of September rent, intensifying fears about cash flow, rent collection and the value of MPT’s healthcare properties. Medical Properties Trust Sinks as FFO Misses and Tenant Troubles
• Negative Sentiment: RBC downgraded Medical Properties Trust to Underperform from Sector Perform and slashed its price target to $2 from $4.50, while retaining a speculative-risk designation. The downgrade reinforced bearish sentiment following the earnings report. RBC Downgrades Medical Properties Trust

Medical Properties Trust Stock Down 7.4%

MPT stock opened at $2.26 on Friday. The company has a debt-to-equity ratio of 2.00, a current ratio of 3.92 and a quick ratio of 3.12. The firm has a market capitalization of $1.35 billion, a P/E ratio of 4.21 and a beta of 1.45. Medical Properties Trust has a 52-week low of $2.06 and a 52-week high of $6.47. The company’s 50 day simple moving average is $3.42 and its 200-day simple moving average is $4.35.

Medical Properties Trust (NYSE:MPT) last posted its quarterly earnings data on Thursday, October 29th. The company reported $0.11 EPS for the quarter, missing analysts’ consensus estimates of $0.13 by ($0.02). Medical Properties Trust had a return on equity of 5.45% and a net margin of 24.14%. The firm had revenue of $250.14 million during the quarter. Medical Properties Trust’s revenue for the quarter was up 5.3% on a year-over-year basis. As a group, equities research analysts anticipate that Medical Properties Trust will post 0.53 EPS for the current year.

Medical Properties Trust Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, October 8th. Stockholders of record on Thursday, September 10th were issued a $0.09 dividend. The ex-dividend date was Thursday, September 10th. This represents a $0.36 dividend on an annualized basis and a dividend yield of 15.9%. Medical Properties Trust’s dividend payout ratio is presently -600.00%.

About Medical Properties Trust

Medical Properties Trust, Inc is a healthcare-focused real estate investment trust (REIT) that owns and invests in healthcare facilities. Its portfolio has historically included hospitals, inpatient rehabilitation facilities, long-term acute-care hospitals, behavioral health facilities and other properties used by healthcare providers.

Founded in 2003 and headquartered in Birmingham, Alabama, the company primarily generates income by leasing properties to healthcare operators under long-term agreements.