Medical Properties (MPW) AI Stock Analysis

• Market Cap: $2.62B
• Dividend Yield: 7.34%
• Average Volume (3M): 8.46M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.14
• Revenue Growth: 19.56%
• EPS Growth: -12.73%
• Country: US
• Employees: 118
• Sector: Real Estate
• Sector Strength: 57
• Industry: REIT - Healthcare Facilities
• EPS (TTM): -0.20
• Shares Outstanding: 600,800,000
• 10 Day Avg. Volume: 9,773,849
• 30 Day Avg. Volume: 8,455,071
• PEG Ratio: -0.35
• Price to Book (P/B): 1.28
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.07
• Enterprise Value/Market Cap: 5.61
• Enterprise Value/Revenue: 4.44
• Enterprise Value/Gross Profit: 24.02
• Enterprise Value/Ebitda: -3.35
• 1Y Price Target: $5.17
• Price Target Upside: 15.92% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3

• Rating: 47 Neutral
• Price Target: $4.50 ▲(0.90%Upside)

Medical Properties Trust faces significant financial and operational challenges, reflected in its declining revenue, high leverage, and negative earnings. While there are some positive developments, such as bond issuance and international performance, these are overshadowed by the company's financial instability and technical weaknesses. The high dividend yield is attractive, but sustainability is questionable given the negative P/E ratio.

Positive Factors

Asset Sales

MPW completed the disposition of three hospitals in Florida, generating $440 million in total proceeds.

Debt Management

The company has solved their near-term debt maturity issues with no debt maturing until 2027.

Revenue Growth

New operators appear to be investing in facility upgrades, and management guided to rent payments reaching $160 million annualized run-rate by October 2026.

Negative Factors

Bankruptcy Impact

Prospect Medical Holdings has recently filed for Chapter 11 bankruptcy protection, impacting MPW's financial situation.

Debt Maturity

MPW faces a significant debt maturity wall with $1.3 billion due in 2025, $2.1 billion in 2026, and $1.6 billion in 2027, necessitating asset sales and refinancing.

Earnings Impact

MPW reported a net loss of $0.69 per share attributed to impairment charges related to Prospect Medical Group and PHP Holdings.

Medical Properties Business Overview & Revenue Model

Company Description

Medical Properties Trust, Inc. (MPW) is a real estate investment trust (REIT) that specializes in acquiring and developing net-leased healthcare facilities across the globe. Founded in 2003 and headquartered in Birmingham, Alabama, MPW's portfolio primarily includes hospitals and other healthcare properties such as rehabilitation centers, long-term acute care facilities, and specialty clinics. The company partners with healthcare operators to provide capital for facility improvements and expansions, catering to a wide range of healthcare needs.

How the Company Makes Money

Medical Properties Trust generates revenue primarily through leasing its healthcare facilities to operators under long-term, triple-net lease agreements. These arrangements place the responsibility of maintenance, insurance, and property taxes on the tenant, ensuring a steady and predictable income for MPW. Additionally, MPW engages in strategic financing transactions, offering loans to operators secured by their real estate, which provides interest income. The company's significant partnerships with major healthcare operators across various regions contribute to its earnings stability and growth.

Medical Properties Financial Statement Overview

Summary

Medical Properties is facing significant financial challenges, as evidenced by a substantial net loss and negative profitability metrics. High leverage and cash flow difficulties highlight the need for operational adjustments, although a stable asset base offers some support.

Income Statement

The income statement reveals a challenging financial situation for Medical Properties. The company reports a significant net loss of $1.63 billion in TTM, with a negative net profit margin. Despite a reasonable gross profit margin of 64.5%, the decline in revenue growth and negative EBITDA margin indicate operational difficulties. The EBIT margin is positive but low at 3.5%, pointing to limited operating profitability.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 2.02, signaling significant leverage. The equity ratio stands at 32.0%, indicating a moderate level of equity financing relative to assets. Return on equity is negative due to the substantial net loss. The financial structure reflects potential risks due to high leverage, though the company maintains a stable asset base.

Cash Flow

Cash flow analysis indicates stability in operating cash flow, although free cash flow growth is negative. The operating cash flow to net income ratio is negative, reflecting the net loss situation. The free cash flow to net income ratio similarly highlights challenges in translating revenue into positive cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	948.03M	995.55M	871.80M	1.54B	1.54B	1.25B
Gross Profit	611.44M	968.29M	830.23M	1.50B	1.51B	1.22B
EBITDA	-692.32M	840.60M	684.64M	1.34B	1.36B	1.09B
Net Income	-1.63B	-2.41B	-556.48M	902.60M	656.02M	431.45M
Balance Sheet
Total Assets	14.85B	14.29B	18.30B	19.66B	20.52B	16.83B
Cash, Cash Equivalents and Short-Term Investments	673.48M	332.33M	250.02M	235.67M	459.23M	549.88M
Total Debt	9.62B	8.98B	10.22B	11.34B	11.44B	9.01B
Total Liabilities	10.09B	9.46B	10.67B	11.06B	12.07B	9.49B
Stockholders Equity	4.76B	4.83B	7.63B	8.59B	8.44B	7.34B
Cash Flow
Free Cash Flow	171.53M	245.48M	505.79M	-801.35M	746.11M	-3.67B
Operating Cash Flow	171.53M	245.48M	505.79M	739.01M	811.66M	617.64M
Investing Cash Flow	1.35B	1.32B	517.56M	396.06M	-3.86B	-2.95B
Financing Cash Flow	-1.08B	-1.48B	-1.02B	-1.34B	2.95B	1.40B

Medical Properties Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.46
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MPW, the sentiment is Neutral. The current price of 4.46 is above the 20-day moving average (MA) of 4.42, below the 50-day MA of 4.72, and below the 200-day MA of 4.74, indicating a neutral trend. The MACD of -0.08 indicates Negative momentum. The RSI at 47.07 is Neutral, neither overbought nor oversold. The STOCH value of 43.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for MPW.

Medical Properties Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SBRA	77 Outperform	$4.35B	30.97	5.15%	6.56%	7.81%	179.16%
NHI	76 Outperform	$3.24B	22.05	10.56%	5.18%	7.44%	4.23%
LTC	73 Outperform	$1.59B	17.87	9.39%	6.57%	4.46%	2.24%
SILA	66 Neutral	$1.29B	36.94	2.46%	6.82%	-2.94%	46.24%
GMRE	58 Neutral	$505.62M	222.68	1.45%	8.61%	-1.66%	-86.24%
Sector *	53 Neutral	$1.18B	3.22	-0.13%	7.29%	-1.64%	-127.49%
MPW	47 Neutral	$2.62B	―	-28.86%	7.34%	19.56%	-12.73%

Medical Properties Corporate Events

Medical Properties Elects New Board of Directors

Medical Properties Trust, Inc. held its annual meeting of stockholders on May 29, 2025. During this meeting, nine directors were elected to the board, PricewaterhouseCoopers LLP was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2025, and a non-binding advisory vote on executive compensation was approved.

The most recent analyst rating on (MPW) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Medical Properties stock, see the MPW Stock Forecast page.