Diversified Healthcare Trust (NASDAQ:DHC) Shares Gap Down - Should You Sell?

Shares of Diversified Healthcare Trust (NASDAQ:DHC - Get Free Report) gapped down prior to trading on Tuesday . The stock had previously closed at $2.30, but opened at $2.19. Diversified Healthcare Trust shares last traded at $2.18, with a volume of 24,553 shares trading hands.

Analysts Set New Price Targets

Several research analysts have commented on DHC shares. StockNews.com cut shares of Diversified Healthcare Trust from a "hold" rating to a "sell" rating in a research report on Monday. Royal Bank of Canada raised their price objective on shares of Diversified Healthcare Trust from $2.00 to $3.00 and gave the company an "underperform" rating in a research report on Monday, October 14th.

Diversified Healthcare Trust Trading Down 0.9 %

The company has a 50-day simple moving average of $2.54 and a 200-day simple moving average of $3.10. The stock has a market cap of $521.15 million, a P/E ratio of -1.34 and a beta of 2.17. The company has a debt-to-equity ratio of 1.44, a quick ratio of 11.57 and a current ratio of 11.57.

Diversified Healthcare Trust (NASDAQ:DHC - Get Free Report) last released its earnings results on Monday, November 4th. The real estate investment trust reported ($0.41) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.05 by ($0.46). The business had revenue of $373.64 million for the quarter, compared to analyst estimates of $376.80 million. Diversified Healthcare Trust had a negative net margin of 26.09% and a negative return on equity of 17.55%. During the same quarter in the previous year, the company posted $0.03 earnings per share. On average, sell-side analysts forecast that Diversified Healthcare Trust will post 0.05 EPS for the current fiscal year.

Diversified Healthcare Trust Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, November 14th. Investors of record on Monday, October 28th were issued a dividend of $0.01 per share. The ex-dividend date of this dividend was Monday, October 28th. This represents a $0.04 dividend on an annualized basis and a dividend yield of 1.85%. Diversified Healthcare Trust's payout ratio is presently -2.48%.

Institutional Trading of Diversified Healthcare Trust

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Barclays PLC increased its stake in Diversified Healthcare Trust by 310.2% during the 3rd quarter. Barclays PLC now owns 324,514 shares of the real estate investment trust's stock worth $1,360,000 after acquiring an additional 245,405 shares during the period. RBF Capital LLC raised its stake in Diversified Healthcare Trust by 433.1% during the third quarter. RBF Capital LLC now owns 1,300,000 shares of the real estate investment trust's stock worth $5,447,000 after acquiring an additional 1,056,131 shares in the last quarter. Anson Funds Management LP bought a new position in Diversified Healthcare Trust in the 3rd quarter valued at approximately $2,995,000. BlackBarn Capital Partners LP lifted its stake in shares of Diversified Healthcare Trust by 128.6% in the 2nd quarter. BlackBarn Capital Partners LP now owns 4,000,000 shares of the real estate investment trust's stock valued at $12,200,000 after acquiring an additional 2,250,000 shares during the last quarter. Finally, Intech Investment Management LLC acquired a new stake in shares of Diversified Healthcare Trust during the third quarter valued at about $187,000. 75.98% of the stock is owned by institutional investors.

About Diversified Healthcare Trust

DHC is a real estate investment trust, or REIT, focused on owning high-quality healthcare properties located throughout the United States. DHC seeks diversification across the health services spectrum by care delivery and practice type, by scientific research disciplines and by property type and location.