One-glance verdict
Overvalued
$0.74 our estimate vs market $20.17
Wall Street consensus: $22.39 (2,944.9% higher than our fair-value estimate)
2642% above our estimate, beyond the bull case
Fundamentals snapshot
Healthpeak Properties, Inc.
DOC · NYQ · Real Estate · REIT - Healthcare Facilities
Current price
$20.17
52-week range
$15.70 - $22.95
Market cap
$14.30B
Balance sheet
Stretched
1.78x Concerning
Net debt $9.16B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
3 Risks
3 rewards · 3 risks
- Reward Revenue grew 8.6% last year.
- Reward Returns 4.4% on equity, ahead of 60% of its peers.
- Risk Forward P/E (144.1x) is higher than trailing (37.4x) - earnings are expected to drop.
- Risk Net debt grew 45.9% over 3 years.
What this company does
Healthpeak Properties, Inc.
Healthpeak Properties owns buildings where healthcare happens, like doctor's offices and life science labs, and they rent these spaces out to healthcare companies. The rent they collect is their main source of money, and this recurring revenue (income that comes in regularly, like clockwork) is important because it makes their business predictable and stable.
How the company got here
Healthpeak Properties, Inc., originally founded as Health Care Property Investors in 1985, has evolved significantly over its history. It became a public company through an initial public offering in the same year. The company underwent a name change to HCP, Inc. in 2007, and later rebranded to Healthpeak Properties, Inc. in November 2019, also adopting a new stock ticker. A key turning point was the spin-off of its Quality Care Properties in October 2016. More recently, in March 2024, Healthpeak acquired Physicians Realty Trust, further shaping its portfolio. The company's headquarters also relocated from California to Denver, Colorado, in November 2020.
What it actually does
Healthpeak Properties is a real estate investment trust (REIT) that focuses on owning, operating, and developing properties specifically for healthcare discovery and delivery. Think of them as a landlord for the healthcare industry. They own buildings where medical research happens (like labs) and where patients receive care (like doctor's offices and senior living facilities). They then lease these spaces to healthcare companies, researchers, and senior living operators, generating income from rent.
Lab and Life Science
This part of Healthpeak's business involves owning and leasing laboratory and office spaces. These spaces are designed for companies involved in biotechnology, medical device development, and pharmaceutical research. Essentially, Healthpeak provides the physical infrastructure—the buildings and labs—where scientists and researchers work on developing new medicines and medical technologies. This segment is a significant part of Healthpeak's overall business, focusing on innovation and scientific advancement.
Medical Office Buildings (MOBs)
Healthpeak's Medical Office Buildings segment includes properties that house various outpatient healthcare services. This means places where you might go for a doctor's appointment, a diagnostic test, or a minor procedure, rather than a major hospital stay. These buildings are leased to healthcare providers like physician groups and clinics, offering convenient locations for patients to receive care. This segment is a core focus for Healthpeak, benefiting from the trend of healthcare moving towards more accessible, outpatient settings.
Continuing Care Retirement Community (CCRC)
This segment of Healthpeak's business focuses on senior housing facilities. These are communities designed for older adults, offering a range of living options and care services. This can include independent living, assisted living, and memory care facilities. Healthpeak owns and manages these properties, which are then leased to operators who provide the day-to-day services to residents. The demand for these facilities is driven by the aging population, making it a stable and important part of Healthpeak's portfolio.
What management is betting on now
Healthpeak's current strategy centers on maximizing long-term returns for its shareholders by focusing on high-quality real estate in the healthcare sector. They are concentrating their investments in lab and outpatient medical properties, believing these areas offer strong growth potential due to demographic trends and the increasing demand for advanced healthcare solutions. Management aims to be the preferred real estate partner for biopharmaceutical and health system tenants by leveraging their expertise and relationships. They also prioritize maintaining a strong financial position with investment-grade credit ratings and fostering a positive company culture to attract and retain top talent.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$-453.23M
FY2025 Q4
$-600.87M
Revenue
$820.89M
Net income
$17.26M
Diluted EPS
0.02
Operating cash flow
$354.46M
Free cash flow
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Sources
Revenue
$771.58M
Net income
$52.82M
Diluted EPS
0.08
Operating cash flow
$361.10M
Free cash flow
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Sources
Revenue
$752.95M
Net income
$193.63M
Diluted EPS
0.28
Operating cash flow
$260.88M
Free cash flow
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Revenue
$719.40M
Net income
$113.97M
Diluted EPS
0.16
Operating cash flow
$294.08M
Free cash flow
$-600.87M
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Sources
Revenue
$705.87M
Net income
$-117.12M
Diluted EPS
-0.17
Operating cash flow
$314.96M
Free cash flow
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Sources
Revenue
$694.35M
Net income
$31.67M
Diluted EPS
0.05
Operating cash flow
$363.49M
Free cash flow
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Sources
Revenue
$702.89M
Net income
$42.83M
Diluted EPS
0.06
Operating cash flow
$279.43M
Free cash flow
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Sources
Revenue
$697.99M
Net income
$4.55M
Diluted EPS
0.02
Operating cash flow
$283.53M
Free cash flow
$-453.23M
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Sources
Is it cheap or expensive?
Fair value $0.74 vs current price $20.17
Wall Street consensus is the average analyst price target: $22.39 (2,944.9% higher than our fair-value estimate).
Our most-likely fair value is $0.74 a share — about 96.4% below today's price of $20.17, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Stretched
Net debt $9.2B. Interest coverage 1.8x.
Net debt
$9.16B
Interest coverage
1.78x
Healthpeak Properties, Inc.'s profit covers its interest bill about 1.8 times over. which is stronger than most peers shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Stretched
Worse cushion
Baseline
Better cushion
DOC
BASELINE
Healthpeak Properties, Inc.
Total debt $9.67B Interest coverage 1.78x This is the baseline the peer rows are being compared against.
Total debt $21.19B Interest coverage 0.54x -69% vs DOC Carries about 3.3x less debt cushion than DOC.
Total debt $12.67B Interest coverage 1.40x -21% vs DOC Carries about 1.3x less debt cushion than DOC.
Total debt $4.03B Interest coverage 3.46x +94% vs DOC Carries about 1.9x more debt cushion than DOC.
Total debt $13.25B Interest coverage 2.45x +37% vs DOC Carries about 1.4x more debt cushion than DOC.
What you should know
The case for and against DOC
3 Rewards
3 Risks
Rewards
-
Revenue grew 8.6% last year.
-
Returns 4.4% on equity, ahead of 60% of its peers.
-
Free cash flow was positive in 8/10 years.
Risks
-
Forward P/E (144.1x) is higher than trailing (37.4x) - earnings are expected to drop.
-
Net debt grew 45.9% over 3 years.
-
Operating margin compressed from 17.3% to 13.3% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
37.35x
Forward P/E
144.07x
P/B
1.77x
P/S
4.67x
EV/EBITDA
16.74x
PEG ratio
4.32x
Profitability
How much profit each dollar creates
Gross margin
56.0%
Operating margin
13.3%
Net margin
12.3%
ROE
4.4%
ROA
1.4%
Health
Liquidity and balance-sheet strength
Debt / equity
0.90x
Current ratio
1.35x
Quick ratio
0.79x
Total debt
$9.67B
Total cash
$514.31M
Growth
How the business has been compounding
Revenue TTM
$3.06B
Revenue 5Y CAGR
10.5%
EPS TTM
0.54
EPS 5Y CAGR
-52.3%
Cash flow
How much cash the business throws off
Operating CF TTM
$1.27B
Free CF TTM
$357.01M
FCF margin
11.6%
Dividend
Shareholder payout
Yield
6.2%
Payout ratio
225.9%
Last ex-div date
2026-11-13