Senior Housing Is a Potential Long Term Winner According to Institutional Investor Rising Star

August 20, 2019

Andrew T. Babin, CFA, is a Senior Research Analyst covering real estate — apartments, health care, manufactured housing, single-family rental and student housing — at Robert W. Baird & Co.

Prior to joining Baird in 2014, he was a senior financial analyst at CBRE Clarion Securities for eight years and covered several types of real estate. He also worked at Dwight Asset Management. Mr. Babin was recognized as a “Rising Star” in Institutional Investor magazine’s 2016 Rising Stars of Wall Street list.

In this extensive 3,862 word interview, exclusively in the Wall Street Transcript, Mr. Babin demonstrates his immense ability to pick stock market winners in this difficult to analyze sector.

“I also cover medical-office-focused names, such as Physicians Realty (NYSE:DOC), and then further down the market-cap spectrum, Global Medical REIT (NYSE:GMRE) and Community Healthcare Trust (NYSE:CHCT) that do a little more secondary markets or non-investment-grade investments in medical office and other sectors at higher yields.

In addition, we cover Senior Housing Properties Trust (NASDAQ:SNH), which is a bit more diversified, as well as Medical Properties Trust (NYSE:MPW), which does hospitals.

Recently, I should add, we launched on a name, New Senior Investment Group (NYSE:SNR), which is pure-play senior housing. And what’s interesting about them is they’re almost entirely a RIDEA senior housing format, where they pay a management fee to the manager and basically own the end economics of all their properties.

So when the senior housing business recovers, they should benefit disproportionately from that and have some pretty exciting earnings growth.

Those are the names that we cover in health care. In addition, we cover the apartment REITs, almost all of them, as well as ACC(NYSE:ACC) on the student housing side, the manufactured housing names and the two big single-family rental REITs, Invitation Homes (NYSE:INVH) and American Homes 4 Rent (NYSE:AMH).”

Get the complete analysis of these and many other medical real estate sector economic issues by reading the entire 3,862 word interview, only in the Wall Street Transcript.