DHI vs DHT Which Is More Profitable?

Diversified Healthcare Investors (DHI) and Diversified Healthcare Trust (DHT) are two companies that specialize in the healthcare real estate sector. DHI focuses on owning and acquiring medical office buildings, while DHT focuses on owning seniors housing and skilled nursing facilities. Both stocks offer investors exposure to the growing demand for healthcare real estate properties. By understanding the differences between these two companies, investors can make informed decisions about which stock may be the better investment for their individual portfolio.

DHI or DHT?

When comparing DHI and DHT, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between DHI and DHT.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. DHI has a dividend yield of -%, while DHT has a dividend yield of 9.41%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. DHI reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, DHT reports a 5-year dividend growth of 70.42% year and a payout ratio of 107.74%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with DHI P/E ratio at 31.50 and DHT's P/E ratio at 10.57. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. DHI P/B ratio is 0.74 while DHT's P/B ratio is 1.60.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, DHI has seen a 5-year revenue growth of 0.05%, while DHT's is 0.31%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with DHI's ROE at 2.43% and DHT's ROE at 15.25%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $1.81 for DHI and $10.26 for DHT. Over the past year, DHI's prices ranged from $1.45 to $2.98, with a yearly change of 105.52%. DHT's prices fluctuated between $9.28 and $12.80, with a yearly change of 37.93%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.