HCP, Inc. [NYSE:HCP]: Analyst Rating and Earnings
Stock market traders oftentimes pay a lot of attention to what top analysts say regarding a potential investment. Regarding HCP, Inc. [HCP], the latest average analyst recommendation we can see is from the quarter closing in December. On average, stock market experts give HCP an Outperform rating. Its stock price has been found in the range of 22.49 to 32.23. This is compared to its latest closing price of $31.55.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for HCP, Inc. [HCP] is sitting at 2.42. This is compared to 1 month ago, when its average rating was 2.45.
For the quarter ending in Mar-19 HCP, Inc. [HCP] generated $0.44 billion in sales. That’s 1.43% lower than the average estimate of $0.44 billion as provided by Wall Street analysts. The three indicators above suggest that on the whole, this stock is not presenting an attractive investment option, as there are too many red flags that don’t point to a high-value ROI.
Pay attention for this company’s financial results, of which the next release is scheduled to happen on Thu 1 Aug (In 76 Days).
Fundamental Analysis of HCP, Inc. [HCP]
Now let’s turn to look at profitability: with a current Operating Margin for HCP, Inc. [HCP] sitting at +11.82 and its Gross Margin at +32.07, this company’s Net Margin is now 59.90%. These measurements indicate that HCP, Inc. [HCP] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 1.71, and its Return on Invested Capital has reached 3.50%. Its Return on Equity is 18.82, and its Return on Assets is 7.90. These metrics all suggest that HCP, Inc. is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, HCP, Inc. [HCP] has generated a Total Debt to Total Equity ratio of 93.67. Similarly, its Total Debt to Total Capital is 48.36, while its Total Debt to Total Assets stands at 43.78. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 93.61, and its Long-Term Debt to Total Capital is 48.33. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 25.95 and its Total Debt to EBITDA Value is 5.38. The Enterprise Value to Sales for this firm is now 11.05, and its Total Debt to Enterprise Value stands at 0.29. HCP, Inc. [HCP] has a Price to Book Ratio of 2.24, a Price to Cash Flow Ratio of 15.17 and P/E Ratio of 14.01. These metrics all suggest that HCP, Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, HCP, Inc. [HCP] earns $9,187,507 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 41.54 and its Total Asset Turnover is 0.14.
HCP, Inc. [HCP] has 477.77M shares outstanding, amounting to a total market cap of $15.07B. Its stock price has been found in the range of 22.49 to 32.23. At its current price, it has moved by -1.88% from its 52-week high, and it has moved 40.62% from its 52-week low.
This stock’s Beta value is currently 0.40, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 63.97. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is HCP, Inc. [HCP] a Reliable Buy?
Shares of HCP, Inc. [HCP], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.