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Healthcare Realty Trust Incorporated (HR)
NYSE:HR
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Healthcare Realty Trust (HR) AI Stock Analysis

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HR

Healthcare Realty Trust

(NYSE:HR)

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Neutral 65 (OpenAI - 5.2)
Rating:65Neutral
Price Target:
$22.50
â–²(5.14% Upside)
Action:Reiterated
Date:08/01/26
The score is primarily supported by strong and improving cash generation and a constructive earnings-call outlook (raised guidance, solid same-store NOI growth, and strong leasing execution). Offsetting these positives are continued GAAP losses and modest top-line decline, with technicals only moderately supportive and valuation helped by the dividend but constrained by a negative P/E.
Positive Factors
Strong cash generation
Healthcare Realty produces durable operating cash: TTM OCF of ~$462M and FCF ~$201M with FCF growth of +58.5%. Reliable cash generation funds dividends, buybacks, JV equity and redevelopments, reducing dependence on frequent equity raises for medium-term strategy execution.
Negative Factors
Persistent GAAP losses
Despite strong cash flow and healthy EBITDA margins, the company remains GAAP loss‑making (TTM net margin ~‑17.5%). Persistent accounting losses erode retained earnings and ROE, complicate earnings comparability and could limit long‑term flexibility if they persist alongside dividend commitments.
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Positive Factors
Negative Factors
Strong cash generation
Healthcare Realty produces durable operating cash: TTM OCF of ~$462M and FCF ~$201M with FCF growth of +58.5%. Reliable cash generation funds dividends, buybacks, JV equity and redevelopments, reducing dependence on frequent equity raises for medium-term strategy execution.
Read all positive factors

Healthcare Realty Trust (HR) vs. SPDR S&P 500 ETF (SPY)

Healthcare Realty Trust Business Overview & Revenue Model

Company Description
Healthcare Realty Trust operates as a Real Estate Investment Trust (REIT), specializing in the acquisition, development, financing, and active management of income-generating real estate assets, predominantly serving outpatient healthcare provider...
How the Company Makes Money
Healthcare Realty Trust makes money primarily by generating recurring real estate income from its healthcare property portfolio. The company’s main revenue stream is rental income paid by tenants (such as physician groups, outpatient care provider...

Healthcare Realty Trust Earnings Call Summary

Earnings Call Date:Jul 30, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 29, 2026
Earnings Call Sentiment Positive
The call emphasized strong operational execution, robust leasing momentum, improved lease economics, strategic capital raises and accretive JV activity, and the company raised guidance—these positives substantially outweigh identifiable risks such as disposition-driven FFO headwinds, timing risk on signed-not-occupied space, and sensitivity to broader cap-rate or debt market shifts. Management highlighted disciplined capital allocation and deepening health system partnerships as durable drivers of growth.
Positive Updates
Consistent Same-Store NOI and Strong Quarterly Results
Same-store cash NOI growth averaged 5.7% over the last four quarters (company statement) and Q2 same-store cash NOI growth was 5.1%; normalized FFO per share for Q2 was $0.41 and FAD per share was $0.32 with a dividend payout ratio of 76%.
Negative Updates
High Dividend Payout Ratio and FFO Headwinds
Quarterly dividend payout ratio is 76%, and the company noted year-over-year FFO translation is impacted by prior-year dispositions (portfolio optimization) that created roughly $0.07 of dilution in earlier periods.
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Q2-2026 Updates
Negative
Consistent Same-Store NOI and Strong Quarterly Results
Same-store cash NOI growth averaged 5.7% over the last four quarters (company statement) and Q2 same-store cash NOI growth was 5.1%; normalized FFO per share for Q2 was $0.41 and FAD per share was $0.32 with a dividend payout ratio of 76%.
Read all positive updates
Company Guidance
Healthcare Realty raised full‑year normalized FFO guidance by $0.02 to a midpoint of $1.64 (upper end $1.66) and bumped same‑store cash NOI guidance to 4.25%–5.0% (up 50 bps at the low end, 25 bps at the high), citing year‑to‑date 4%–5% cash releasing spreads and Q2 same‑store cash NOI growth of 5.1%; Q2 normalized FFO was $0.41 and FAD per share $0.32 (dividend payout ratio 76%). Uses of capital were increased $115 million (including $40 million for the KKR JV), disposition guidance rose by a similar amount, and the company repurchased $75 million of stock in Q2 (total buybacks $175M at a blended ~$18.50/share creating >$30M of value). Management also noted ~$75M of dispositions closed at a blended 5% cap rate, a disposition pipeline of nearly $200M, plans to keep leverage in the mid‑5x range, and ample liquidity (including an additional ~$1.2B on its credit line).

Healthcare Realty Trust Financial Statement Overview

Summary
Cash flow is a clear strength (TTM operating cash flow ~$462M, free cash flow ~$201M, FCF growth +58.5%). Balance sheet metrics show improved leverage (TTM debt-to-equity ~0.05) and sizable equity, but profitability remains weak with continued net losses (TTM net margin about -17.5%) and declining TTM revenue (-2.66%).
Income Statement
38
Negative
Balance Sheet
63
Positive
Cash Flow
74
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.13B1.18B1.27B1.34B932.64M534.82M
Gross Profit178.41M-396.46M-555.43M-618.09M-317.56M-82.88M
EBITDA783.55M519.96M266.62M717.28M635.71M321.90M
Net Income-86.92M-246.07M-654.49M-278.26M40.90M66.66M
Balance Sheet
Total Assets9.00B9.21B10.65B12.64B13.85B4.26B
Cash, Cash Equivalents and Short-Term Investments18.99M26.17M68.92M25.70M60.96M13.18M
Total Debt235.56M4.15B4.96B5.30B5.70B1.92B
Total Liabilities4.73B4.53B5.35B5.71B6.17B2.07B
Stockholders Equity4.22B4.62B5.23B6.82B7.57B2.19B
Cash Flow
Free Cash Flow62.44M126.94M252.64M268.79M109.20M131.94M
Operating Cash Flow298.97M457.10M501.62M499.82M272.75M232.63M
Investing Cash Flow707.45M710.83M900.92M349.14M1.63B-562.47M
Financing Cash Flow-1.01B-1.21B-1.36B-884.22M-1.86B327.72M

Healthcare Realty Trust Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price21.40
Price Trends
50DMA
20.56
Positive
100DMA
19.41
Positive
200DMA
18.30
Positive
Market Momentum
MACD
0.31
Negative
RSI
62.83
Neutral
STOCH
70.52
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HR, the sentiment is Neutral. The current price of 21.4 is above the 20-day moving average (MA) of 21.12, above the 50-day MA of 20.56, and above the 200-day MA of 18.30, indicating a neutral trend. The MACD of 0.31 indicates Negative momentum. The RSI at 62.83 is Neutral, neither overbought nor oversold. The STOCH value of 70.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HR.

Healthcare Realty Trust Risk Analysis

Healthcare Realty Trust disclosed 42 risk factors in its most recent earnings report. Healthcare Realty Trust reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Healthcare Realty Trust Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$9.84B26.718.67%3.35%58.48%70.32%
72
Outperform
$2.06B15.6011.79%5.41%48.96%28.05%
72
Outperform
$3.69B24.659.88%4.57%16.91%-1.91%
70
Outperform
$5.38B32.875.61%5.37%13.50%7.25%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
65
Neutral
$7.46B-80.10-1.94%4.49%-6.44%46.41%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HR
Healthcare Realty Trust
21.01
5.32
33.92%
LTC
LTC Properties
40.24
8.00
24.81%
NHI
National Health Investors
76.65
8.59
12.61%
SBRA
Sabra Healthcare REIT
21.17
3.98
23.12%
CTRE
CareTrust REIT
41.94
11.18
36.36%

Healthcare Realty Trust Corporate Events

Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
Healthcare Realty Trust Refreshes Capital Markets Flexibility
Positive
Jul 31, 2026
On July 31, 2026, Healthcare Realty Trust and its operating partnership filed a new automatic shelf registration statement with the SEC, replacing a prior shelf that had been in place since August 8, 2023. The new filing refreshes the company&#821...
Business Operations and StrategyDividendsFinancial DisclosuresPrivate Placements and Financing
Healthcare Realty Trust Boosts 2026 Guidance Despite Net Loss
Positive
Jul 30, 2026
Healthcare Realty Trust reported its second-quarter 2026 results on July 30, 2026, posting a GAAP net loss of $0.13 per share but steady Normalized FFO of $0.41 per share and same store cash NOI growth of 5.1%. The REIT raised its full-year 2026 N...
Executive/Board ChangesShareholder Meetings
Healthcare Realty Trust Shareholders Back Board and Governance
Positive
May 20, 2026
Healthcare Realty Trust reported the results of its annual meeting of stockholders held on May 19, 2026, where approximately 94.32% of outstanding common shares were represented in person or by proxy. Stockholders elected six directors, including ...
Business Operations and StrategyPrivate Placements and Financing
Healthcare Realty Trust Secures New $400 Million Loan Facility
Positive
May 19, 2026
On May 15, 2026, Healthcare Realty Trust and its operating partnership entered into a $400 million senior unsecured delayed draw term loan facility with a syndicate of major banks, featuring a five-year maturity to May 15, 2029, flexible SOFR- or ...
Business Operations and StrategyPrivate Placements and Financing
Healthcare Realty Trust Issues Exchangeable Notes to Bolster Capital
Positive
May 7, 2026
On May 7, 2026, Healthcare Realty Holdings, L.P., a subsidiary of Healthcare Realty Trust Incorporated, issued $700 million of 3.00% senior unsecured exchangeable notes due January 15, 2032, fully and unconditionally guaranteed by the parent and i...
Stock BuybackPrivate Placements and Financing
Healthcare Realty Trust Plans $500 Million Exchangeable Notes Offering
Neutral
May 5, 2026
On May 4, 2026, Healthcare Realty Trust announced that its operating partnership, Healthcare Realty Holdings, L.P., plans a private offering of $500 million in exchangeable senior notes due 2032 to qualified institutional buyers, with an option fo...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 01, 2026