HR −0.52% on Nov 12 · Analysis updated Nov 12, 2026, 4:50 PM ET

Why is Healthcare Realty Trust (HR) stock down?

Healthcare Realty has rallied from about $17.53 on Oct 28 to about $19.16, a gain of roughly 9%, after Q3 results on Oct 29. Normalized FFO was $0.42, same-store cash NOI grew 5.1%, cash leasing spreads were 8.6%, and full-year FFO guidance was raised for the third time in 2026 to $1.65-$1.67. Volume peaked at about 10.3M shares on Nov 2 and has since faded to about 4-5M. Price has consolidated in a $19.07-$19.44 range, near the 200-day average of $18.89. Buybacks of $250M year to date, executed around $17.75, support per-share results. Leverage is 5.5x, and the company has ample liquidity. Analysts are mixed. UBS raised its target to $20 but stayed Neutral, and consensus is Hold with a $21.55 average target, which sits only about 12% above the current price. Interest-rate sensitivity and the fact that the 8.6% leasing spread was boosted by one campus lease are the main risks. The stock is consolidating after a sharp post-earnings move.

News behind the analysis

About Healthcare Realty Trust Incorporated

Real Estate · Healthcare REIT (medical outpatient buildings)

Healthcare Realty Trust is a Nashville-based real estate investment trust (REIT). It calls itself the largest US owner, operator and developer that focuses only on medical outpatient buildings, such as medical office buildings and outpatient care facilities, and many of them sit on or near hospital campuses. It became much larger after merging with Healthcare Trust of America in 2022, and since then it has been selling some properties and working to fill empty space in the rest.

How it makes money

Nearly all of its revenue is rent from leasing space to health systems, physician groups and other healthcare tenants, plus charges that pass building operating costs on to tenants. Its trailing revenue is roughly $1.1 billion a year. It also earns smaller amounts from joint ventures and development projects. Like other REITs, it must pay out most of its taxable income to shareholders as dividends. Its current quarterly dividend is about $0.24 per share. On standard accounting (GAAP) it has recently posted net losses, so it is usually judged on FFO (funds from operations), a common REIT cash-earnings measure, rather than net income.

What usually moves HR

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This is AI-generated analysis for informational purposes only and is not financial advice. Investing involves risk, including loss of principal. Do your own research before making decisions.