Medical Properties (MPW) AI Stock Analysis

• Market Cap: $2.60B
• Dividend Yield: 7.41%
• Average Volume (3M): 9.00M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.11
• 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: 10,245,579
• 30 Day Avg. Volume: 9,001,306
• PEG Ratio: -0.06
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.27
• Enterprise Value/Market Cap: 4.44
• Enterprise Value/Revenue: 6.32
• Enterprise Value/Gross Profit: 29.60
• Enterprise Value/Ebitda: 8.14
• 1Y Price Target: $5.17
• Price Target Upside: 19.68% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3

• Rating: 48 Neutral
• Price Target: $4.50 ▲(4.17%Upside)

Medical Properties Trust faces significant financial and operational challenges, reflected in its low financial performance and valuation scores. Despite some positive developments in its earnings call, such as bond issuance and international performance, the technical outlook remains bearish. The high dividend yield offers some compensation but comes with increased risk.

Positive Factors

Court Approval

MPW received a court approval for its settlement agreement with Prospect, which is a positive.

Debt Management

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

Facility Upgrades

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

Impairment Charges

MPW reported a net loss of $0.20 per share attributed to impairment charges related to Prospect Medical Group and PHP Holdings.

Impairment Charges in Colombia

The company took an $11 million impairment charge on mortgage investments in Colombia.

Interest Expense Headwinds

Concerns remain around problem tenants, uncertainty on legacy-Steward recovery ramp, and upcoming interest expense headwinds.

Medical Properties Business Overview & Revenue Model

Company Description

Medical Properties Trust, Inc. is a self-advised real estate investment trust formed in 2003 to acquire and develop net-leased hospital facilities. From its inception in Birmingham, Alabama, the Company has grown to become one of the world's largest owners of hospital real estate with 441 facilities and approximately 44,000 licensed beds as of September 30, 2023. Since the end of the third quarter, the Company has sold four facilities and now owns approximately 43,000 licensed beds in nine countries across three continents. MPT's financing model facilitates acquisitions and recapitalizations and allows operators of hospitals to unlock the value of their real estate assets to fund facility improvements, technology upgrades and other investments in operations.

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 faces significant financial challenges, such as declining revenue, high leverage, and cash flow management issues. Despite some strengths like positive operating cash flow, overall financial health is concerning. The company needs to address its debt levels and improve operational efficiency to stabilize its financial position.

Income Statement

Medical Properties shows declining revenue and profitability. The TTM revenue has decreased compared to the previous year, and the net income remains negative, indicating ongoing financial challenges. The gross profit margin is relatively high, but the net profit margin is negative due to significant net losses. EBIT and EBITDA margins have also deteriorated, reflecting operational inefficiencies.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage. The equity ratio has decreased over time, suggesting reduced financial stability. However, the company maintains a reasonable level of total assets, which provides some buffer against liabilities. The return on equity is negative due to net losses, highlighting profitability issues.

Cash Flow

Operating cash flow is positive, but free cash flow has declined, indicating cash management challenges. The operating cash flow to net income ratio is favorable, suggesting that cash generation is better than reported earnings. However, the free cash flow to net income ratio is negative, reflecting insufficient cash to cover net losses.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	995.55M	871.80M	1.54B	1.54B	1.25B
Gross Profit	968.29M	830.23M	1.50B	1.51B	1.22B
EBITDA	840.60M	697.41M	1.35B	1.37B	1.10B
Net Income	-2.41B	-556.48M	902.60M	656.02M	431.45M
Balance Sheet
Total Assets	14.29B	18.30B	19.66B	20.52B	16.83B
Cash, Cash Equivalents and Short-Term Investments	332.33M	250.02M	235.67M	459.23M	549.88M
Total Debt	8.98B	10.22B	11.34B	11.44B	9.01B
Total Liabilities	9.46B	10.67B	11.06B	12.07B	9.49B
Stockholders Equity	4.83B	7.63B	8.59B	8.44B	7.34B
Cash Flow
Free Cash Flow	245.48M	505.79M	-801.35M	746.11M	-3.67B
Operating Cash Flow	245.48M	505.79M	739.01M	811.66M	617.64M
Investing Cash Flow	1.32B	517.56M	396.06M	-3.86B	-2.95B
Financing Cash Flow	-1.48B	-1.02B	-1.34B	2.95B	1.40B

Medical Properties Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.32
• 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 4.32 is above the 20-day moving average (MA) of 4.24, below the 50-day MA of 4.41, and below the 200-day MA of 4.62, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 51.07 is Neutral, neither overbought nor oversold. The STOCH value of 50.10 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	$4.34B	30.84	5.15%	6.59%	7.81%	179.16%
NHI	75 Outperform	$3.32B	22.56	10.56%	5.06%	7.44%	4.23%
SILA	75 Outperform	$1.40B	39.88	2.46%	6.31%	-2.94%	46.24%
LTC	73 Outperform	$1.63B	18.27	9.39%	6.43%	4.46%	2.24%
Sector *	65 Neutral	$2.05B	16.90	2.45%	5.19%	-0.30%	1.21%
GMRE	59 Neutral	$496.19M	218.53	1.45%	11.40%	-1.66%	-86.24%
MPW	48 Neutral	$2.60B	―	-28.86%	7.41%	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.