Does anybody own HCN?

Discussion in 'Stock Market Forum' started by bms00, Mar 29, 2014.

  1. bms00

    bms00 Member

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    Company name is Health Care REIT Inc. I'm not really familiar with this stock but apparently it's the largest publicly traded owner of nursing homes. I could see it being a good long-term play as the baby boomers age. I like the REIT status for keeping dividends high, its paying 5.5% now. Does anybody have an opinion on HCN?
     
  2. crimsonghost747

    crimsonghost747 Senior Investor

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    I have heard of them... I'm sure that I at least took a quick look when I was looking at REITs to invest in. Didn't buy it, decided to go with something else so there must have been something I didn't like. I'll take another look when I have the time, this seems like a moment when I could start looking at another REIT.
     
  3. JR Ewing

    JR Ewing Super Moderator Staff Member

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    Two of the biggest names were in it as of the end of '13 - Bridgewater and Blackrock. They've got impressive revenue growth. Personally I'm avoiding much in the way of health care with all this political nonsense going on here in the US - I'm just not comfortable with the changes and uncertainty we're seeing. I'll do a little speculating and even less buy & hold with the biotech drug companies that have promising drug pipelines, but that's about it for me these days.
     
  4. Brad321

    Brad321 Active Member

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    Nice to revisit an old call once in awhile to see how it worked out. This caught my eye as I played them last January when they took a big drop. You did well with them if you bought in March. I unloaded a little early in April, but took my nice profit and moved on.

    The problem isn't with finding clients for the facilities as you mention that our population is aging. It is who is going to pay for their care? Reimbursements are dropping and HCN may have problems staying profitable in the future. To their credit, they are still hanging in there even though their P/E has climbed to 252. The dividend has still been a robust 4.9% yield. Very good in this low interest rate environment, but watch the stock sink when interest rates begin to climb.
     

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