Why Is Ventas (VTR) Up 7.7% Since Last Earnings Report?

Core Viewpoint - Ventas reported strong third-quarter earnings, with normalized FFO per share and revenues exceeding estimates, indicating positive momentum in the company's performance and outlook for 2025 [2][3]. Financial Performance - The third-quarter 2025 normalized FFO per share was 88 cents, surpassing the Zacks Consensus Estimate of 87 cents, and reflecting a 10% increase year-over-year [2]. - Revenues for the quarter reached $1.49 billion, exceeding the Zacks Consensus Estimate of $1.43 billion, and marking a 20.4% year-over-year increase [3]. Same-Store Cash NOI Analysis - Total same-store cash NOI for the property portfolio increased by 7.8% year-over-year to $475.4 million [4]. - The SHOP portfolio's same-store cash NOI rose 15.9% year-over-year to $232.4 million, supported by a 4.7% growth in average monthly Revenues per Occupied Room (RevPOR) [4]. - The OM&R portfolio's same-store cash NOI improved 3.7% year-over-year to $138.3 million, while the triple-net leased properties experienced a 2.1% decline to $104.7 million [5]. Balance Sheet Position - As of the end of the third quarter, Ventas had cash and cash equivalents of $188.6 million, down from $614.2 million at the end of June 2025, and total liquidity of $4.1 billion, down from $4.7 billion [6]. 2025 Guidance - The company raised its 2025 normalized FFO per share guidance to a range of $3.45-$3.48, up from the previous range of $3.41-$3.46 [7]. - Total same-store cash NOI growth is now estimated between 7% and 8%, with the SHOP segment expected to grow between 14% and 16% [7][8]. - The investment volume guidance for the senior housing segment was increased to $2.5 billion from $2 billion [9]. Market Sentiment and Estimates - There has been an upward trend in estimates for Ventas over the past month, indicating positive investor sentiment [10]. - The stock currently holds a Zacks Rank 3 (Hold), suggesting an expectation of in-line returns in the coming months [12]. Industry Comparison - Ventas operates within the Zacks REIT and Equity Trust - Other industry, where competitor W.P. Carey reported revenues of $429.02 million for the last quarter, reflecting an 8% year-over-year increase [13].