Healthpeak stock up 6.3% following last earnings report: Will the growth continue?

Swooning at the latest earnings report of Healthpeak (DOC), it can be noted that the stocks have seen a surge of about 6.3% in the past month, surpassing the S&P 500. The big question is whether this upward trajectory will persist as the next earnings release approaches, or if a downturn is imminent.

Amidst this speculation, a closer examination of Healthpeak’s last earnings report is essential to better grasp the pivotal factors at play. The fourth-quarter 2025 FFO (funds from operations) as adjusted per share stood at 47 cents, outshining the Zacks Consensus Estimate of 45 cents and marking an improvement from the previous year’s 46 cents. The revenue figures were also commendable, tallying up to $719.4 million, an increase of 3.1% from the previous year and surpassing the Zacks Consensus Estimate of $699.5 million.

In a significant stride, Healthpeak unveiled the establishment and forthcoming initial public offering of Janus Living, Inc., which is a senior housing real estate investment trust. When delving deeper into the earnings data, it was revealed that the total merger-combined same-store cash (adjusted) NOI experienced a 3.9% year-over-year upswing. Noteworthy growth percentages were seen in the outpatient medical and life plan segments, clocking in at 4.1% and 16.7%, respectively. On the flip side, the lab segment witnessed a slight decline of 0.3%.

Leases executed during the quarter amounted to 333,000 square feet for the lab portfolio and 1.8 million square feet for the outpatient medical portfolio. It is of importance to note that there was a 1.7% negative cash-releasing spread on renewals in the lab portfolio while the outpatient medical portfolio scored positively with a 4.4% cash-releasing spread on renewals.

Notwithstanding these achievements, it is crucial to address the spike in interest expenses, escalating by 14.4% year over year to reach $80.6 million. Healthpeak rounded off the fourth quarter with a significant increase in cash and cash equivalents to $467.5 million and a net debt to adjusted EBITDAre ratio of 5.2X as of December 31, 2025.

Looking ahead to the company’s 2026 outlook, Healthpeak projects an FFO as adjusted per share bracketed between $1.70 and $1.74, with the expected total merger-combined same-store cash (adjusted) NOI growth ranging from negative 1% to 1%. Market sentiments have witnessed a decline in estimates review within the past month, leading to a Zacks Rank #3 (Hold) for Healthpeak. In light of these developments, expectations for the stock’s performance in the near future are neutral.

In comparison with industry peers, another player in the REIT and Equity Trust – Other sector, Prologis (PLD), observed a 6.9% increase in the past month. Prologis reported revenues of $2.09 billion in the previous quarter, marking an 8% year-over-year change. Earnings per share (EPS) stood at $1.49 for the same period. Prologis is anticipated to post earnings of $1.48 per share for the current quarter, reflecting a 4.2% positive change from the previous year. The strategic direction of estimate revisions has translated into a Zacks Rank #3 (Hold) for Prologis.