Avantax Advisory Services Inc. has strategically reduced its holding in Omega Healthcare Investors, Inc. (NYSE:OHI), a significant development for investors monitoring institutional shifts in the real estate investment trust sector. This adjustment, revealed in their latest Form 13F filing with the Securities and Exchange Commission, saw Avantax offload 645 shares, bringing their total ownership to 34,262 shares of the healthcare-focused REIT.
The financial community is closely observing these movements, as Avantax Advisory’s remaining stake in Omega Healthcare Investors was valued at $1,305,000 as of their most recent SEC disclosure. This divestment, though a small percentage, often indicates a strategic re-evaluation of portfolio allocations and market outlook by major players.
Beyond Avantax, numerous other institutional investors have also recalibrated their positions in OHI. Notably, Cohen & Steers Inc. dramatically increased its stake by 50.8% in the fourth quarter, acquiring an additional 8,837,218 shares, bringing their total to an impressive 26,222,898 shares valued at approximately $992.47 million. Northern Trust Corp followed suit with a 49.4% increase, adding over a million shares.
Further institutional activity includes Allspring Global Investments Holdings LLC, which saw a staggering 556.1% growth in its OHI holdings during the first quarter, accumulating an additional 871,472 shares. Sumitomo Mitsui Trust Group Inc. also significantly boosted its stake by 221.6%, purchasing 647,832 additional shares. These substantial shifts highlight diverse institutional investment strategies concerning Omega Healthcare Investors.
The company’s stock has experienced typical market fluctuations, with a fifty-two week low of $35.04 and a high of $44.42, demonstrating its dynamic position within the healthcare real estate market. Recent trading saw OHI open at $39.94, with its 50-day moving average at $37.36 and the two-hundred day moving average at $37.26, providing key technical indicators for potential investors.
Financially, Omega Healthcare Investors maintains a robust profile with a debt-to-equity ratio of 0.90, and strong quick and current ratios both at 6.58. With a market capitalization of $11.56 billion and a price-to-earnings ratio of 24.65, the company presents a significant presence in the real estate investment trust sector, reflecting its scale and operational efficiency.
In a recent development, the company declared a quarterly dividend of $0.67 per share, payable on Friday, August 15th, to shareholders of record by Monday, August 4th. This translates to an annualized dividend of $2.68 and offers a compelling yield of 6.7%, underscoring OHI’s commitment to shareholder returns, even with a payout ratio currently at 165.43%.
Analyst sentiment has also seen recent adjustments, with Wells Fargo & Company upgrading Omega Healthcare Investors from an “equal weight” to an “overweight” rating and raising its price target from $38.00 to $41.00. The broader consensus among five research analysts is a “Hold” rating, with four recommending a “Buy,” and a collective price target of $42.25, indicating a generally positive outlook.
Omega Healthcare Investors, Inc. specializes in providing financing and capital solutions to the long-term healthcare industry. Their portfolio primarily encompasses skilled nursing facilities, assisted living facilities, independent living facilities, rehabilitation and acute care facilities, and medical office buildings, playing a crucial role in the healthcare real estate landscape.
