Core Insights - American Healthcare REIT, Inc. (NYSE:AHR) is recognized as one of the 14 best up-and-coming dividend stocks to buy [1] - Morgan Stanley has increased its price target for AHR to $55 from $52, maintaining an Overweight rating, indicating growing confidence in the company's performance in the senior housing sector [2] - For Q3 2025, AHR reported a GAAP net income of $55.9 million, or $0.33 per diluted share, with same-store NOI increasing by 16.4% [3] - The company has been active in acquisitions, closing approximately $210.8 million in deals during the quarter and over $575 million year-to-date [3] - AHR has partnered with WellQuest Living and has a development pipeline projected to cost around $177 million [4] - The company raised its full-year 2025 normalized FFO guidance to a range of $1.69 to $1.72 per diluted share, up from a previous range of $1.64 to $1.68, reflecting better-than-expected organic growth [4] - AHR focuses on healthcare real estate, particularly in senior housing, skilled nursing facilities, and outpatient medical properties across the US, UK, and Isle of Man [5]

Core Insights - Healthpeak Properties, Inc. (DOC) has a market capitalization of $12.2 billion and focuses on high-quality healthcare real estate across the U.S. with a diversified portfolio of 703 assets as of September 30, 2025 [1] Performance Overview - Over the past 52 weeks, DOC shares have declined by 21.6%, underperforming the S&P 500 Index, which increased by 17.7% during the same period [2] - Year-to-date, DOC shares are down nearly 13%, while the S&P 500 has risen by 15.7% [2] - Compared to the Real Estate Select Sector SPDR Fund (XLRE), which decreased by 6.9% over the past 52 weeks, DOC's underperformance is more pronounced [3] Financial Results - Following the Q3 2025 results released on October 23, DOC shares rose by 1.2% as the company reported an AFFO of $0.46 per share and revenue of $705.9 million, both exceeding expectations [4] - The company experienced a 0.9% year-over-year growth in total merger-combined same-store cash NOI, with outpatient medical and CCRC segments growing by 2.0% and 9.4%, respectively [4] - Healthpeak reaffirmed its 2025 FFO guidance of $1.81 to $1.87 per share [4] Analyst Ratings and Price Targets - For the fiscal year ending December 2025, analysts project a 1.1% year-over-year increase in AFFO per share to $1.83 [5] - Healthpeak has a positive earnings surprise history, having met or exceeded consensus estimates in the last four quarters [5] - Among 20 analysts covering the stock, the consensus rating is a "Moderate Buy," with nine "Strong Buy" ratings, three "Moderate Buys," and eight "Holds" [5] - RBC Capital's Michael Carroll reaffirmed a "Buy" rating on Healthpeak with a price target of $21, while the mean price target of $20.72 indicates a 16.9% premium to current price levels [6] - The highest price target of $29 suggests a potential upside of 63.6% [6]

Financial Data and Key Metrics Changes - The company reported FFO as adjusted of $0.46 per share and AFFO of $0.42 per share, with year-to-date portfolio same-store growth of 3.8% [12][18] - Cash NOI increased by 9.4% for the quarter, driven by strong performance in the CCRC portfolio [13][18] Business Line Data and Key Metrics Changes - CCRC portfolio experienced a 150 basis points year-over-year occupancy gain, with sequential occupancy up 70 basis points [9][14] - Outpatient medical leasing demand remains favorable, with 1.2 million sq ft of leases executed during the quarter and total occupancy up 10 basis points at 91% [14][18] - Lab leasing saw 339,000 sq ft of leases executed, with total occupancy at 81% and a positive 5% releasing spread on renewals [16][18] Market Data and Key Metrics Changes - The leasing pipeline has doubled to 1.8 million sq ft since the beginning of the year, with a favorable mix of new and renewal leases [17][22] - The company is experiencing increased demand from tech and AI-based companies, contributing to a strengthening demand profile [17][43] Company Strategy and Development Direction - The company aims to recycle outpatient sale proceeds into higher return lab opportunities, with potential proceeds of $1 billion or more from asset sales [7][18] - The internalization of property management allows for quicker deployment of technology and deeper tenant relationships, enhancing growth opportunities [5][11] - The company is focused on maintaining a flexible balance sheet to pursue strategic investments and fund portfolio growth [18][75] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of the life science sector, with leading indicators turning positive and a strong pipeline of leasing activity [4][17] - The company anticipates a decline in occupancy over the next few months but believes it will reach a bottom before starting to recover [8][17] - Management highlighted the importance of the outpatient medical sector, which has shown consistent positive NOI growth over the years [26][27] Other Important Information - The company has completed $158 million of asset sales and loan repayments year-to-date, with an additional $204 million of dispositions under a purchase and sale agreement [18][19] - The company is advancing its technology initiatives to create a tech-enabled platform aimed at streamlining operations and expanding tenant services [10][11] Q&A Session Summary Question: Can you elaborate on the lab leasing pipeline and its changes? - Management noted that the lab leasing pipeline has doubled, with a favorable mix of new and renewal leases driven by improved sentiment in the sector [22][23] Question: What are the potential opportunities for capital recycling? - Management indicated that outpatient medical has been a strong business, and they are looking to take advantage of strong demand for assets to sell less strategic properties [25][26] Question: How does the company view tenant risk and the current market sentiment? - Management reported a decrease in tenant risk exposure and expressed confidence in the ability of tenants to raise capital, improving overall sentiment [38][41] Question: What is the expected timeline for occupancy recovery? - Management expects occupancy to trend down to the high 70% range before starting to recover, with a focus on maintaining a strong leasing pipeline [76][93]

Core Viewpoint - Real estate investment trusts (REITs) can provide significant dividend yields, with AGNC Investment and Healthpeak Properties being highlighted for their monthly dividends, but their sustainability and growth potential differ significantly [1]. Group 1: AGNC Investment - AGNC Investment is a mortgage REIT that invests in Agency MBS, which are protected against credit risk by government agencies, and it employs leverage to enhance returns, resulting in a high monthly dividend yield of 15.7% [3]. - The CEO noted that the outlook for agency MBS investments remains favorable, with potential returns in the low-20% range, which exceeds the company's total cost of capital of approximately 18% [4]. - However, AGNC has previously cut its dividend when returns fell below costs, indicating that it may not be the best option for investors seeking a highly sustainable income stream [5]. Group 2: Healthpeak Properties - Healthpeak Properties is a healthcare REIT with a diversified portfolio that includes outpatient medical, lab, and senior housing properties, providing stable cash flow with contractual annual rental increases [7]. - The REIT's adjusted funds from operations (FFO) have grown by 19% over the past three years, and it expects to generate between $1.81 and $1.87 per share of FFO this year, comfortably covering its $1.22-per-share dividend [9]. - Healthpeak has a strong balance sheet with $500 million to $1 billion available for new investments, and it recently raised its dividend payout by 2%, indicating a capacity for future dividend increases [10][12].