Ventas (VTR) AI Stock Analysis

• Market Cap: $41.70B
• Dividend Yield: 2.45%
• Average Volume (3M): 2.83M
• Price to Earnings (P/E): 157.8
• Beta (1Y): 0.22
• Revenue Growth: 15.69%
• EPS Growth: N/A
• Country: US
• Employees: 498
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Healthcare Facilities
• EPS (TTM): 0.15
• Shares Outstanding: 474,965,200
• 10 Day Avg. Volume: 3,313,917
• 30 Day Avg. Volume: 2,829,365
• PEG Ratio: 0.80
• Price to Book (P/B): 2.81
• Price to Sales (P/S): 6.04
• P/FCF Ratio: 26.75
• Enterprise Value/Market Cap: 1.29
• Enterprise Value/Revenue: 9.19
• Enterprise Value/Gross Profit: -155.77
• Enterprise Value/Ebitda: 23.95
• 1Y Price Target: $89.71
• Price Target Upside: 4.39% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 15
• EPS Forecast (FY): 0.75
• Revenue Forecast (FY): $6.47B

• Rating: 66 Neutral
• Price Target: $89.00 ▲(3.56% Upside)
• Action: Downgraded Date: 02/10/26
• Date: Action: Downgraded 02/10/26

The score reflects improving fundamentals and strong cash flow with upbeat 2026 guidance (especially SHOP growth) as the main positives. These are tempered by balance-sheet leverage/low ROE and a premium valuation (very high P/E). Technicals are supportive overall but appear overbought, adding near-term pullback risk.

Positive Factors

Cash generation strength

Consistently strong operating and free cash flow (FCF ~$1.28B; OCF ~$1.65B) provides durable internal funding for reinvestment, dividends and debt service. FCF materially exceeded net income in 2025, supporting capital deployment flexibility and cushioning earnings volatility for multiple quarters.

Durable SHOP operating momentum

Repeated double-digit same-store SHOP NOI growth, rising occupancy and RevPOR gains signal structural demand strength in senior housing. With SHOP comprising a large share of company NOI, sustained organic outperformance improves margin sustainability and underpins multi-year cash flow growth even amid cyclical headwinds.

Proven capital markets access & deployment

Demonstrated ability to raise sizable debt and equity (>$7B) and close accretive acquisitions (~$4.8B cumulative) evidences durable execution capacity. Reliable capital access supports a growth strategy that can scale SHOP exposure and capture sector consolidation opportunities over several quarters.

Negative Factors

Elevated leverage and refinancing exposure

Material leverage (debt roughly matching equity and pro-forma leverage near ~5x) plus sizable 2026 maturities heightens interest-rate and refinancing risk. Higher funding costs or tighter markets could pressure net income and FFO margins for several quarters, constraining discretionary investment and payout flexibility.

Equity-funded dilution risk

Reliance on equity to finance growth (large issuances and unsettled forward commitments) risks long-term dilution of FFO/share and restrains ROE improvement. Persistent equity-funded acquisitions can depress per-share returns and limit EPS leverage for multiple quarters unless acquisition yields consistently exceed capital costs.

Competitive pressure and cap-rate compression

Rising competition and cap-rate compression reduce acquisition yields and can compress future returns on deployed capital. If purchase spreads shrink against replacement yields, sustaining accretive growth becomes harder, pressuring long-term margin expansion and requiring stricter underwriting for several quarters.

Ventas Business Overview & Revenue Model

Company Description

Ventas, an S&P 500 company, operates at the intersection of two powerful and dynamic industries: healthcare and real estate. As one of the world's foremost Real Estate Investment Trusts (REIT), we use the power of capital to unlock the value of real estate, partnering with leading care providers, developers, research and medical institutions, innovators and healthcare organizations whose success is buoyed by the demographic tailwind of an aging population. For more than twenty years, Ventas has followed a successful strategy that endures: combining a high-quality diversified portfolio of properties and capital sources to manage through cycles, working with industry leading partners, and a collaborative and experienced team focused on producing consistent growing cash flows and superior returns on a strong balance sheet, ultimately rewarding Ventas shareholders. As of September 30, 2020, Ventas owned or managed through unconsolidated joint ventures approximately 1,200 properties.

How the Company Makes Money

Ventas generates revenue primarily through rental income from its properties, as it leases its healthcare facilities to various operators and healthcare providers. The company's revenue model is based on long-term leases, often with built-in rent escalations, which provide a steady cash flow. Additionally, Ventas may earn revenue from property sales and management fees associated with its portfolio. Key partnerships with established healthcare operators and a focus on acquiring high-quality, strategically located properties contribute significantly to its earnings. The company also benefits from demographic trends such as an aging population, which drives demand for healthcare and senior living services.

Ventas Financial Statement Overview

Summary

Operations improved in 2025 with re-accelerating revenue growth, stronger EBIT and net income, and very strong cash generation (FCF up to ~$1.28B and well above net income). Offsetting factors are notable leverage (debt-to-equity ~1.07), low ROE (~2%), and an unusual negative gross margin in 2025 that raises earnings-quality consistency questions.

Income Statement

Revenue growth re-accelerated meaningfully in 2025 (up ~5.0% vs. ~0.1% in 2024), and operating profitability remains solid with EBIT margin improving (2025 ~14.7% vs. ~13.3% in 2024). Net income also improved (about $251M in 2025 vs. ~$81M in 2024) with a higher net margin (~4.3% vs. ~1.6%). Offsetting this, 2025 shows an unusual negative gross profit and negative gross margin, which points to unfavorable cost-of-revenue dynamics or classification noise and adds volatility to the quality of earnings versus prior years’ positive gross margins.

Balance Sheet

Leverage is notable, with debt still roughly matching equity (debt-to-equity ~1.07 in 2025), although this is an improvement from the higher leverage levels seen in 2023–2024. Equity has grown, supporting balance sheet stability, but returns remain low for shareholders (ROE ~2.0% in 2025), reflecting a capital-intensive REIT profile and still-modest bottom-line profitability. Overall, the balance sheet is workable but constrained by elevated absolute debt and limited return generation.

Cash Flow

Cash generation is a key strength: operating cash flow rose to ~$1.65B in 2025 from ~$1.33B in 2024, and free cash flow increased to ~$1.28B with positive growth (~11.3%). Cash flow also appears supportive of earnings quality, with free cash flow comfortably exceeding net income in 2025 (free cash flow to net income ~5.1x). The main watchout is prior-year variability in free cash flow growth (notably weaker in 2024), indicating sensitivity to working capital, capex timing, and operating conditions.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.83B	4.92B	4.50B	4.13B	3.83B
Gross Profit	-344.22M	2.10B	1.94B	1.85B	1.74B
EBITDA	2.24B	1.94B	1.95B	1.62B	1.72B
Net Income	251.38M	81.15M	-40.97M	-47.45M	49.01M
Balance Sheet
Total Assets	27.59B	26.19B	24.73B	24.16B	24.72B
Cash, Cash Equivalents and Short-Term Investments	741.07M	897.85M	508.79M	122.56M	149.72M
Total Debt	13.22B	13.74B	13.69B	12.49B	12.22B
Total Liabilities	15.01B	15.36B	15.18B	13.94B	13.77B
Stockholders Equity	12.53B	10.77B	9.49B	10.15B	10.85B
Cash Flow
Free Cash Flow	1.32B	1.06B	935.13M	926.34M	858.69M
Operating Cash Flow	1.68B	1.34B	1.19B	1.15B	1.04B
Investing Cash Flow	-2.73B	-2.39B	-239.20M	-882.33M	-764.48M
Financing Cash Flow	875.73M	1.45B	-563.88M	-289.13M	-535.97M

Ventas Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 85.94
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VTR, the sentiment is Positive. The current price of 85.94 is above the 20-day moving average (MA) of 81.09, above the 50-day MA of 79.12, and above the 200-day MA of 70.95, indicating a bullish trend. The MACD of 2.33 indicates Negative momentum. The RSI at 72.17 is Negative, neither overbought nor oversold. The STOCH value of 78.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VTR.

Ventas Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OHI	74 Outperform	$13.81B	24.10	11.79%	6.11%	13.50%	31.56%
SBRA	70 Outperform	$5.05B	31.47	5.59%	6.47%	8.12%	75.95%
WELL	69 Neutral	$145.54B	-293.34	2.53%	1.51%	32.27%	67.00%
VTR	66 Neutral	$41.70B	157.78	2.16%	2.45%	15.69%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
HR	65 Neutral	$6.29B	-25.41	-5.04%	6.56%	-6.59%	33.35%
DOC	53 Neutral	$12.19B	169.00	0.89%	7.73%	9.58%	-111.99%

Ventas Corporate Events

Ventas Expands At-the-Market Equity Offering Capacity

On February 9, 2026, Ventas, Inc. amended its at-the-market equity offering program, increasing the aggregate gross sales price of common stock available for issuance to $2.5 billion, excluding shares previously sold under the arrangement. The amendment also added M&T Securities, Inc. as an additional sales agent, while leaving the material terms and conditions of the sales agreement otherwise unchanged.

The updated capacity under the ATM program, supported by a syndicate of major broker-dealers and forward purchasers, enhances Ventas’s flexibility to raise equity capital as needed through sales of common stock and related forward transactions. This expanded funding avenue may support the company’s ability to finance investments, manage its balance sheet and pursue strategic initiatives in the healthcare real estate market without committing to a single large, upfront equity issuance.

The most recent analyst rating on (VTR) stock is a Buy with a $91.00 price target. To see the full list of analyst forecasts on Ventas stock, see the VTR Stock Forecast page.

Ventas Highlights New Material Agreement and Debt Obligations

Ventas filed a current report on Form 8-K indicating that the information disclosed under Item 1.01 regarding entry into a material definitive agreement is also deemed to apply to Item 2.03, which concerns the company’s direct financial obligations. This cross-reference signals that the new agreement creates or affects significant debt or similar financial commitments for Ventas, highlighting the importance of the transaction for the company’s capital structure and obligations to stakeholders.

The most recent analyst rating on (VTR) stock is a Buy with a $93.00 price target. To see the full list of analyst forecasts on Ventas stock, see the VTR Stock Forecast page.

Ventas Realty Issues $500M in Senior Notes

On December 4, 2025, Ventas Realty, a subsidiary of Ventas, Inc., successfully issued and sold $500 million in 5.000% Senior Notes due 2036. The proceeds from this offering are intended for general corporate purposes, including potential debt repayment, enhancing the company’s financial flexibility and operational capacity.

The most recent analyst rating on (VTR) stock is a Buy with a $85.00 price target. To see the full list of analyst forecasts on Ventas stock, see the VTR Stock Forecast page.

Ventas Announces Retirement of Key Executive

On November 17, 2025, Ventas, Inc. announced the planned retirement of Peter J. Bulgarelli, Executive Vice President of Outpatient Medical & Research and CEO of Lillibridge Healthcare Services, effective May 1, 2026. Bulgarelli has been pivotal in enhancing Ventas’s competitive edge and tenant satisfaction, and his departure will initiate a search for a successor to ensure a seamless transition, maintaining the company’s growth trajectory and industry leadership.

The most recent analyst rating on (VTR) stock is a Buy with a $91.00 price target. To see the full list of analyst forecasts on Ventas stock, see the VTR Stock Forecast page.