GMRE, MPW: Are Their 8% Dividend Yields Safe?
Global Medical REIT (NYSE: GMRE) and Medical Properties Trust (NYSE: MPW) are two of the highest-yielding healthcare REITs. Their substantial payouts and unique qualities are likely to tag them as more attractive investments during the current, highly uncertain market environment compared to their sector peers. However, I believe that the growth prospects of both companies are rather soft, which could weaken their stocks'' long-term total-return potential despite their safe, high dividends. As a result, I am neutral on both stocks. What Makes Healthcare REITs Attractive in the Current Environment? Healthcare REITs have historically attracted limited investor attention.
GMRE, MPW: Are Their 8% Dividend Yields Safe?
Global Medical REIT (NYSE: GMRE) and Medical Properties Trust (NYSE: MPW) are two of the highest-yielding healthcare REITs. Their substantial payouts and unique qualities are likely to tag them as more attractive investments during the current, highly uncertain market environment compared to their sector peers. However, I believe that the growth prospects of both companies are rather soft, which could weaken their stocks'' long-term total-return potential despite their safe, high dividends. As a result, I am neutral on both stocks. What Makes Healthcare REITs Attractive in the Current Environment? Healthcare REITs have historically attracted limited investor attention.