Analysts are weighing in on how HCP, Inc. (NYSE:HCP), might perform in the near term. Wall Street analysts have a unfavorable assessment of the stock, with a mean rating of 3.4. The stock is rated as buy by 1 analysts, with 0 outperform and 10 hold rating. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for strong sell.
For the current quarter, the 15.00 analysts offering adjusted EPS forecast have a consensus estimate of $0.70 a share, which would compare with $0.79 in the same quarter last year. They have a high estimate of $0.71 and a low estimate of $0.69. Revenue for the period is expected to total nearly $631.25M from $607.53M the year-ago period.
For the full year, 17.00 Wall Street analysts forecast this company would deliver earnings of 2.78 per share, with a high estimate of $2.86 and a low estimate of $2.66. It had reported earnings per share of $3.16 in the corresponding quarter of the previous year. Revenue for the period is expected to total nearly $2.54B versus 2.54B in the preceding year.
The analysts project the company to maintain annual growth of around 1.25% percent over the next five years as compared to an average growth rate of 15.72% percent expected for its competitors in the same industry.
Among the 12 analysts Data provided by Thomson/First Call tracks, the 12-month average price target for HCP is $31.42 but some analysts are projecting the price to go as high as $35.00. If the optimistic analysts are correct, that represents a 3 percent upside potential from the recent closing price of $34.11. Some sell-side analysts, particularly the bearish ones, have called for $23.00 price targets on shares of HCP, Inc. (NYSE:HCP).
In the last reported results, the company reported earnings of $0.79 per share, while analysts were calling for share earnings of $0.76. It was an earnings surprise of 3.90%percent. In the matter of earnings surprises, the term Cockroach Effect is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.
HCP, Inc. is an independent hybrid real estate investment trust. The fund invests in real estate markets of the United States. It primarily invests in properties serving the healthcare industry including sectors of healthcare such as senior housing, life science, medical office, hospital and skilled nursing. The fund also invests in mezzanine loans and other debt instruments. It engages in acquisition, development, leasing, selling and managing of healthcare real estate and provides mortgage and other financing to healthcare providers. The fund benchmarks the performance of its portfolio against the S&P 500 Index, Berkshire Hathaway Index, and MSCI REIT Index. HCP, Inc. was formed in 1985 and is based in Irvine, California with additional office in Nashville and San Francisco.