Welltower Inc. (NYSE:WELL) is one of the Best Stocks to Buy and Hold For the Next 3 Years. Wall Street is bullish on Welltower Inc. (NYSE:WELL) after the company topped estimates during its fiscal Q4 2025 earnings, released on February 10. Recently, on February 24, Austin Wurschmidt from KeyBanc reiterated a Buy rating on the stock with a $240 price target. Earlier on February 23, Michael Carroll from RBC Capital also reiterated a Buy rating on the stock and raised the price target from $207 to $230. ​Du ...

Core Viewpoint - Public Storage is relocating its headquarters from California to Texas as part of a leadership transition and long-term growth strategy, marking a significant shift for the company historically associated with California's business community [1][2]. Group 1: Headquarters Relocation - The new headquarters will be situated in the Dallas-Fort Worth metro area while maintaining a long-term presence in Glendale, California [2]. - The move highlights Texas's success in attracting major corporate relocations due to factors like no state income tax, lower operating costs, and a deep talent pool [7]. Group 2: Leadership Changes - Tom Boyle will succeed Joe Russell as CEO on April 1, with Russell retiring after a decade in the role [3]. - Shankh Mitra, CEO of Welltower, will be appointed as non-executive chairman [3]. Group 3: Strategic Overhaul - The leadership changes are part of the "PS4.0" initiative aimed at accelerating earnings growth, expanding margins, and enhancing long-term shareholder returns [6]. - The company is focusing on digital tools, data science, and artificial intelligence to improve pricing, marketing, and portfolio management [10]. Group 4: Investment and Growth Strategy - Public Storage has invested over $12 billion in deals and new projects over the past five years, with plans to accelerate this pace [12]. - The company is signaling a more aggressive approach to acquisitions and development in the self-storage industry [12]. Group 5: Executive Compensation - The company is revamping executive compensation to align more closely with shareholder returns, emphasizing stock performance and capital discipline [14].

Real Estate Stocks Rise: Realty Income (O) & Simon Property (SPG) Lead Last Week's Winners - 24/7 Wall St. [S&P 5006,841.10 -1.05%][Dow Jones48,851.20 -1.58%][Nasdaq 10024,692.40 -1.34%][Russell 20002,617.90 -1.79%][FTSE 10010,686.00 -0.46%][Nikkei 22556,818.00 -0.53%][Stock Market Live February 23, 2026: S&P 500 (SPY) Tried to Shrug Off Tariff Uncertainty][Investing]# Real Estate Stocks Rise: Realty Income (O) & Simon Property (SPG) Lead Last Week's Winners### Quick ReadSimon Property Group (SPG) and Realt ...

Quick Read Simon Property Group (SPG) and Realty Income (O) were two of the standout performers in the real estate sector last week. Both stocks gained around 1.8%. Realty Income rose 19% year-to-date as the 10-year Treasury yield stabilized at 4.08% from its 4.58% peak. Simon’s has returned a little more than 9% year-to-date. A recent study identified one single habit that doubled Americans’ retirement savings and moved retirement from dream, to reality. Read more here. Markets have started the w ...

Core Viewpoint - Welltower Inc. is recognized as one of the best real estate stocks to buy, reflecting strong confidence from hedge funds and analysts regarding its growth potential [1][9]. Financial Performance - In the fourth quarter, Welltower reported a revenue increase of 36%, EBITDA growth of 32%, and FFO per share rising by 22% [3]. - The company has strengthened its balance sheet by reducing leverage while investing in technology and personnel to support long-term growth [3]. Strategic Initiatives - Welltower launched its private funds management business and updated incentive programs for teams and operating partners [4]. - The company introduced the Tech Quad initiative to enhance technology capabilities and operational efficiency [4]. Investment Activity - Welltower completed nearly $11 billion in net investments, primarily focused on senior housing in high-growth markets [5]. - The company funded these investments largely through the $7.2 billion sale of its outpatient medical business, allowing a greater focus on senior housing [5]. - As of early 2026, Welltower has already completed or contracted $5.7 billion in acquisitions, with an additional $2.5 billion in potential deals [6]. Company Overview - Welltower Inc. is a healthcare real estate company specializing in senior housing and wellness communities across the U.S., U.K., and Canada, with a portfolio of over 2,000 properties [7].

Core Insights - Medical Properties Trust, Inc. (MPT) reported fourth-quarter 2025 normalized funds from operations (NFFO) per share of 18 cents, exceeding the Zacks Consensus Estimate of 15 cents, with the figure unchanged from the prior-year quarter [1][7] - The company achieved revenues of $270.3 million in the fourth quarter, surpassing the Zacks Consensus Estimate of $244.7 million, reflecting a 16.6% increase from the year-ago quarter [2][7] - For the full year 2025, MPT reported NFFO per share of 58 cents, down 27.5% from the previous year, but still above the Zacks Consensus Estimate of 55 cents; total revenues for the year were $972 million, a decrease of 2.4% from the previous year, yet beating the consensus estimate of $946.4 million [2] Revenue and Income Analysis - Rent billed in the reported quarter totaled $212.5 million, marking a 27.3% increase from the prior-year quarter [3] - Straight-line rent revenues were reported at $36 million, down 17.7% from the year-ago quarter [3] - Income from financing leases was $10 million, reflecting a 1.5% increase year over year, while interest and other income rose to $11.9 million, up 4.9% from the previous year [3] Expenses and Financial Position - Interest expenses increased by 30.5% year over year to $132.5 million, impacting overall results [3] - The company exited the fourth quarter of 2025 with cash and cash equivalents of $540.9 million, up from $396.6 million as of September 30, 2025 [5] - As of December 31, 2025, MPT had an adjusted net debt to adjusted annualized EBITDA ratio of 8.5 [5] Strategic Moves - During the fourth quarter, MPT acquired one post-acute facility in the U.S. for approximately $32 million and another in Europe for approximately €23 million [4]

Core Viewpoint - REITs are regaining favor as a safe haven investment, showing a year-to-date increase of 6.9% compared to a broader market decline [1] Group 1: Market Dynamics - The turning point for market sentiment occurred in early February, coinciding with a reversal of previously hot trades and a focus on significant capital expenditure (capex) by hyperscalers during earnings season [3] - Major tech companies like Microsoft, Google, and Amazon experienced declines of 5%, 10%, and 18% respectively, contributing to a 4% drop in the Nasdaq and a 2% drop in the S&P in the first two weeks of February [7][8] - Traditional safe havens, including gold and silver, have not performed well, leading investors to consider REITs as a more reliable option [9][11] Group 2: REITs' Fundamental Strength - REITs have demonstrated strong fundamental performance over the past five years, with metrics such as FFO (Funds From Operations) growth and improved margins [13][16] - The median REIT trades at 13.8X FFO, significantly lower than the S&P's 29.3X trailing earnings, indicating a divergence in valuation [21] - REITs currently offer an FFO yield of 7.24%, compared to the S&P's earnings yield of 3.4%, allowing for larger dividend payouts [24] Group 3: Cash Flow Reliability - REITs benefit from contractual revenue streams that can extend up to 30 years, providing visibility into future cash flows and supporting consistent dividend growth [17][19] - A forecast indicates that 36 REITs are expected to increase their dividends in the first quarter of 2026, reflecting their reliable cash flow structure [17] Group 4: Direct Benefits from Tech Capex - Many REITs are positioned to benefit directly from the trillions of dollars being spent on AI infrastructure, with companies like Equinix reporting accelerating growth in AFFO per share due to increased demand for data centers [29] - The demand for infrastructure related to AI is driving significant growth opportunities for REITs, contrasting with the challenges faced by hyperscalers [29] Group 5: Market Correction and Future Outlook - The current market correction is seen as a recalibration of previously inflated tech valuations, with capital shifting towards undervalued sectors like REITs [32][33] - The outperformance of REITs in 2026 is viewed as just the beginning, with expectations for further normalization of relative value as the market adjusts [33]

Economic Data Releases - The upcoming week will feature significant US economic data releases, including the January employment report and the January CPI report, which are typically not released in the same week [1] - December retail sales and the Q4 employment cost index will also be released, alongside global inflation updates from China and several European economies [1] Employment Report Expectations - DB economists project a rise in headline and private payrolls by 75k, with the unemployment rate expected to remain at 4.4% [2] - Average hourly earnings are anticipated to increase by 0.3%, with hours worked remaining unchanged at 34.2, leading to a year-over-year growth rate of payroll-based nominal compensation rising to 4.5% from 4.3% [2] Inflation Report Expectations - The headline CPI is expected to increase by 0.26%, influenced by a projected 2.4% drop in motor fuel prices, while core CPI is anticipated to rise by 0.35% [4] - This would result in a year-over-year headline CPI slowing to 2.46% from 2.68%, and core CPI to approximately 2.55% [4] Corporate Earnings - Corporate earnings reports are ongoing, with six of the Magnificent Seven having reported, which may reduce volatility until Nvidia's report on February 25th [1] - The week will also see earnings from major tech companies and consumer firms, including Cisco, Coca-Cola, and McDonald's [8] Fed Communications - Fed officials will be actively communicating throughout the week, discussing regulatory topics and the balance sheet outlook, particularly in light of the nomination of Kevin Warsh for Fed Chair [6] - Discussions will include perspectives on the labor market and inflation, with various Fed governors scheduled to speak [6][20] Global Economic Indicators - In Europe, key indicators include the UK's Q4 GDP and CPI reports from Denmark, Norway, and Switzerland [7] - In Asia, China's January inflation report is due, with forecasts indicating a slowdown in CPI inflation to 0.4% year-over-year [8]

Core Insights - The article highlights seven real estate stocks to monitor, including Blackstone, Potlatch, Apollo Global Management, Zillow Group, Digital Realty Trust, Welltower, and American Tower, which have shown the highest trading volume recently [2] Group 1: Company Profiles - **Blackstone Inc.** is an alternative asset management firm focusing on real estate, private equity, hedge fund solutions, and capital markets services, typically investing in early-stage companies [3] - **PotlatchDeltic Corporation** is a leading REIT owning approximately 2.2 million acres of timberlands across several states and operates sawmills and a real estate development business [3] - **Apollo Global Management, Inc.** specializes in private equity investments across various sectors, including real estate, and engages in traditional buyouts and distressed asset investments [4] - **Zillow Group, Inc.** operates real estate brands through mobile applications and websites, offering marketplaces for agents, rentals, and mortgage services [5] - **Digital Realty Trust, Inc.** is a REIT providing data center and interconnection solutions, serving industries such as AI, cloud, and financial services [6] - **Welltower Inc.** focuses on transforming healthcare infrastructure by investing in seniors housing and health systems to enhance care delivery models [7] - **American Tower** is a major global REIT that owns and operates over 224,000 communications sites, emphasizing multitenant communications real estate [8]

Core Insights - Digital Realty Trust (DLR) reported a fourth-quarter 2025 core funds from operations (FFO) per share of $1.86, exceeding the Zacks Consensus Estimate of $1.83, with a year-over-year increase of 7.5% [1][8] - The company achieved operating revenues of $1.63 billion in the fourth quarter, surpassing the Zacks Consensus Estimate of $1.58 billion, reflecting a 13.8% year-over-year growth [2][8] - For the full year 2025, core FFO per share was $7.39, up 10.1% from the previous year, and total operating revenues grew 10% to $6.11 billion, exceeding the consensus mark of $6.06 billion [2] Financial Performance - DLR's signed total bookings in the fourth quarter are estimated to generate $400 million of annualized GAAP rental revenues, with total bookings amounting to $175 million [3] - Renewal leases signed during the quarter contributed $269 million of annualized cash rental revenues, with rental rates increasing by 6.1% on a cash basis and 12% on a GAAP basis [4] - Adjusted EBITDA for the quarter was $856.8 million, marking a 14.1% increase year over year [4] Portfolio Activity - DLR disposed of a non-core data center in the Dallas metro area for approximately $33 million [5] - The company acquired two land parcels totaling around 20 acres in the Portland metro area for $23.6 million, expected to support 85 megawatts of IT capacity [5] - DLR entered a joint venture with MedOne Ltd. to develop an 18 megawatt campus in Israel, contributing $7.1 million [6] Future Outlook - DLR guided for 2026 core FFO per share in the range of $7.90-$8.00, with total revenues projected between $6.60-$6.70 billion [11] - The company anticipates rental rates on renewal leases to increase by 6-8% on a cash basis and 8.5-10.5% on a GAAP basis, with year-end portfolio occupancy expected to rise by 50-100 basis points [12] - DLR's cash and cash equivalents stood at $3.45 billion at the end of the fourth quarter, with total debt of $18.4 billion [9][10]