A portfolio of stocks I've been building since September 3, 2019, named Volio, will eventually hold 52 dividend dogs. Volio is the fifth portfolio I've built (at a one dividend dog per-week pace) since 2014. Five portfolios = V for Volio!
Today I'm reviewing the third of five healthcare sector stocks poised to join my Volio folio this week. This could be my thirty-seventh pick for Volio!
That healthcare sector includes ten industries all related to testing, diagnosing and treating what ails us. Healthcare industries are: biotechnology; diagnostics & research; drug manufacturers - major and - specialty & generic; healthcare plans; healthcare facilities; medical care; medical devices; medical distribution; medical supplies.
My subject today is a healthcare facilities REIT - named, Care Trust REIT Inc. Its trading ticker symbol is CTRE. This is my second-ever report for Care Trust REIT Inc. The most recent was back on January 30th.
Care Trust REIT Inc is a self-administered, publicly-traded REIT engaged in the ownership, acquisition, development, and leasing of seniors housing and healthcare-related properties. The company operates as a REIT that invests in income-producing healthcare-related properties. It generates revenues primarily by leasing healthcare-related properties to healthcare operators in triple-net lease arrangements.
The Company is headquartered in San Clemente, CA.
I use three key data points to gauge dividend equities or funds like Care Trust REIT Inc:
(1) Price
(2) Dividends
(3) Returns
Besides those three, several other keys will finally unlock an equity or fund in which to invest, or not.
Those three basic keys, however, best tell whether a company has made, is making, and will make money.
CTRE Price
Care Trust's price per share closed at $17.03 yesterday. A year ago their price was $25.01. Market price decreased $8.02 or just over 32% in the past year.
Assuming CTREs stock trades in the range of $5 to $25 this next year, its recent $17.03 price might rise by $0.97 to reach $18.00 by May 13, 2021.
CTRE Dividends
Care Trust's most recent declared quarterly dividend was raised from $0.225 to $0.25 paid April 15th. That $0.25 Q dividend equates to $1.00 annually and yields 5.87% at yesterday's $17.03 share price.
CTRE Gains?
Adding the $1.00 annual estimated dividend to my $0.97 optimistic estimate of Care Trust's price upside shows a $1.97 potential gross gain, per share, reduced by any costs to trade those shares.
A little over $1,000.00 invested today in Care Trust REIT Inc shares at their $17.03 price, buys 59 shares of CTRE stock.
A $10 broker fee paid half at purchase and half at sale could cost about $0.17 per share.
Subtract that $0.17 brokerage cost from my estimated $1.97 gross gain per share results in a net gain of $1.80 X 59 shares = $106.20 for a 10.6% net gain on a $1,004.77 investment.
Care Trust REIT Inc shows a possible 10.6% net gain including a 5.87% dividend yield. It could be more, it could be less.
The above speculation is based on past performance and supposition. Only time and money invested will tell if Care Trust REIT Inc is worth it.
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