wait did you not see below screenshot? try reading it now ......

First 11 Last

Share
Profile

Follow
UberTrader

3,394 Posts.

270

09/01/25

18:38

Post #: 77338744
Share

Originally posted by AmWatchingYou: ↑

My perspective is long term fundamental value not short term momentum.

Healthscope comprises around half of HCW's assets. So even (say) a 20% reduction in rent to Healthscope, is around a 10% reduction across the portfolio. The share price has way over discounted this.

Say a 10% reduction in FFO translates into a 10% reduction in the dividend, then the dividend at current prices is still around 7.9%.

And the cap rate implied by the share price is around 7% which makes little sense to me as barriers to entry are so high, sector WALEs are long, occupancies are high, and incentives are low. This isn't the office sector.

The Healthcsope hospitals will be occupied, and rent will be paid. The Govt cant afford for these hospitals not to operate. The only question is what is the right value and capital structure for a hospital operator. That's short term digestion issue for HCW, but not a long term problem.

The landlord needs to get an adequate rent return on cost, and with replacement costs just going up and up, I doubt there is any material downside risk to rents over the medium to longer term. If there is a risk then hospitals won't be built - and the government won't allow the industry to be unsustainable.

Expand

wait did you not see below screenshot? try reading it now ... what does it says? "The Government Refuses Bailout" .... so after reading this you will learn that there is no point saying "The Govt cant afford for these hospitals not to operate.".

Now remaining part of your comment already answered previously in this thread so go through it and learn "https://hotcopper.com.au/threads/ann-annual-report-2024.8227869/"

HCW Price at posting: 94.5¢ Sentiment: None Disclosure: Not Held
Upvote

0 Great analysis

Reply

Top Stories

Monday's HotCopper trends: 4DS falls short, $30B bid for Santos | June 16, 2025

ASX Market Close: Index treads water as Energy stocks surge | Monday June 16, 2025

NUZ

This stock is crafting a cure for Huntington's – and it's making progress

Listen: HotCopper Wire Podcast 013 - They changed the IPO rules (and that's a good thing)

RC1

Redcastle teams up with Terra Mining to get revenue flowing at Redcastle Reef, Queen Alexandra projects

First 11 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

(20min delay)
Last 77.0¢		Change 0.030(4.05%)		Mkt cap ! $423.6M

Open	High	Low	Value	Volume
74.0¢	77.0¢	74.0¢	$1.450M	1.916M

Buyers (Bids)

No.	Vol.	Price($)
1	10000	76.5¢

Sellers (Offers)

Price($)	Vol.	No.
77.0¢	180	1

View Market Depth

No.	Vol.	Price($)
1	10000	0.765
3	89694	0.755
2	22851	0.750
4	54651	0.740
3	38013	0.735

Price($)	Vol.	No.
0.770	180	1
0.775	68271	4
0.780	100539	7
0.785	15000	1
0.800	9723	3

Last trade - 16.10pm 16/06/2025 (20 minute delay)

HCW (ASX) Chart

wait did you not see below screenshot? try reading it now ......

Monday's HotCopper trends: 4DS falls short, $30B bid for Santos | June 16, 2025

ASX Market Close: Index treads water as Energy stocks surge | Monday June 16, 2025

This stock is crafting a cure for Huntington's – and it's making progress

Listen: HotCopper Wire Podcast 013 - They changed the IPO rules (and that's a good thing)

Redcastle teams up with Terra Mining to get revenue flowing at Redcastle Reef, Queen Alexandra projects

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

wait did you not see below screenshot? try reading it now ......

Top Stories

Monday's HotCopper trends: 4DS falls short, $30B bid for Santos | June 16, 2025

ASX Market Close: Index treads water as Energy stocks surge | Monday June 16, 2025

This stock is crafting a cure for Huntington's – and it's making progress

Listen: HotCopper Wire Podcast 013 - They changed the IPO rules (and that's a good thing)

Redcastle teams up with Terra Mining to get revenue flowing at Redcastle Reef, Queen Alexandra projects

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News