AHR - American Healthcare REIT, Inc.
Price:
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CONSENSUS:
Buy
DETAILS
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PRICE TARGET:
$57.33
DETAILS
HIGH:
$60.00
LOW:
$55.00
MEDIAN:
$57.00
CONSENSUS:
$57.33
UPSIDE:
14.23%
AlphaVal
Deterministic, archetype-aware fair value
Real Estate Investment Trust
85% confidence
Primary model: P/FFO × Healthcare REIT Multiple
Adjust Assumptions
23.4x
$
Key Value Driver
FFO/share ($1.34) × healthcare P/FFO multiple
Implied Market Multiple
37.6x
Plain-Language Summary
Our base-case estimate uses P/FFO × Healthcare REIT Multiple. We then blend that result with the average analyst price target of $57.33 from 11 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $33.44 per share.
Warnings
Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.
The 2.0% yield is low for a real estate company — investors are paying up because they expect above-average growth.
Dividend-based valuation: $18.64 (32% below our primary estimate). Large gaps suggest the dividend may not fully reflect the company's value.
Wall Street's average price target is $57.33 (from 11 analysts). Our estimate is 52% below the consensus -- consider that gap carefully.
Key Risks
- P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
- Interest rate sensitivity: REIT multiples compress when rates rise
- FFO approximation (NI + D&A) may include gains on property sales — verify