EPR Properties (NYSE:EPR) Sees Large Volume Increase – Still a Buy?

EPR Properties (NYSE:EPR) saw unusually-strong trading volume on Thursday. Approximately 1,229,904 shares traded hands during trading, an increase of 54% from the average daily volume of 796,799 shares. The stock last traded at $59.3630 and had previously closed at $59.38.

EPR Properties News Roundup

Investors following EPR have been watching these news items:

• Positive Sentiment: EPR plans share repurchases alongside the notes offering, which could support per-share value and partially offset possible dilution. EPR Properties prices notes offering with share repurchases planned
• Neutral Sentiment: The company priced $500 million of 4.5% convertible senior notes due 2032, with settlement scheduled for November 16. The notes provide long-term financing, while conversion terms could affect future share count. EPR Properties prices convertible senior notes
• Negative Sentiment: The 4.5% coupon adds an interest expense, and conversion of the notes could dilute existing shareholders. These considerations may temper the benefit of the planned repurchases. EPR Properties prices $500 million convertible senior notes

Analysts Set New Price Targets

A number of brokerages recently issued reports on EPR. Wells Fargo & Company lowered their price target on EPR Properties from $61.00 to $56.00 and set an “equal weight” rating for the company in a research report on Monday, October 19th. JPMorgan Chase & Co. boosted their price objective on shares of EPR Properties from $62.00 to $65.00 and gave the company an “overweight” rating in a research report on Wednesday, September 9th. Royal Bank Of Canada increased their target price on shares of EPR Properties from $61.00 to $64.00 and gave the company a “sector perform” rating in a research note on Friday, August 7th. Stifel Nicolaus lowered their target price on shares of EPR Properties from $70.50 to $67.50 and set a “buy” rating for the company in a report on Thursday, October 29th. Finally, Raymond James Financial reaffirmed an “outperform” rating and set a $65.00 price target on shares of EPR Properties in a research note on Thursday, August 13th. Eight equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $65.50.

EPR Properties Stock Performance

The stock has a market cap of $4.57 billion, a PE ratio of 16.85, a price-to-earnings-growth ratio of 2.29 and a beta of 1.05. The company has a quick ratio of 8.42, a current ratio of 8.42 and a debt-to-equity ratio of 1.43. The firm has a 50 day moving average price of $57.32 and a 200 day moving average price of $57.57.

EPR Properties (NYSE:EPR) last issued its quarterly earnings data on Wednesday, October 28th. The real estate investment trust reported $1.22 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.83 by $0.39. EPR Properties had a net margin of 38.83% and a return on equity of 12.78%. The company had revenue of $204.10 million for the quarter, compared to analyst estimates of $169.74 million. During the same period last year, the company posted $1.37 earnings per share. EPR Properties’s revenue was up 12.0% compared to the same quarter last year. As a group, research analysts forecast that EPR Properties will post 5.38 earnings per share for the current year.

EPR Properties Announces Dividend

The firm also recently declared a monthly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Monday, November 30th will be issued a $0.31 dividend. This represents a $3.72 annualized dividend and a yield of 6.2%. The ex-dividend date of this dividend is Monday, November 30th. EPR Properties’s dividend payout ratio (DPR) is currently 105.08%.

Insider Buying and Selling

In other news, SVP Elizabeth Grace sold 4,200 shares of EPR Properties stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $60.57, for a total transaction of $254,394.00. Following the completion of the sale, the senior vice president directly owned 22,427 shares in the company, valued at approximately $1,358,403.39. The trade was a 15.77% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.03% of the stock is owned by company insiders.

Institutional Trading of EPR Properties

A number of hedge funds and other institutional investors have recently made changes to their positions in EPR. Arizona State Retirement System raised its stake in shares of EPR Properties by 0.9% during the 2nd quarter. Arizona State Retirement System now owns 21,110 shares of the real estate investment trust’s stock valued at $1,225,000 after buying an additional 196 shares during the last quarter. North Star Investment Management Corp. boosted its stake in shares of EPR Properties by 0.4% in the third quarter. North Star Investment Management Corp. now owns 53,701 shares of the real estate investment trust’s stock worth $3,014,000 after buying an additional 201 shares during the last quarter. GAMMA Investing LLC boosted its stake in shares of EPR Properties by 10.0% in the third quarter. GAMMA Investing LLC now owns 2,434 shares of the real estate investment trust’s stock worth $137,000 after buying an additional 222 shares during the last quarter. Waverly Advisors LLC boosted its stake in shares of EPR Properties by 5.0% in the second quarter. Waverly Advisors LLC now owns 4,733 shares of the real estate investment trust’s stock worth $275,000 after buying an additional 227 shares during the last quarter. Finally, Hantz Financial Services Inc. grew its holdings in EPR Properties by 6.6% during the third quarter. Hantz Financial Services Inc. now owns 3,699 shares of the real estate investment trust’s stock worth $208,000 after acquiring an additional 230 shares during the period. Institutional investors and hedge funds own 74.66% of the company’s stock.

EPR Properties Company Profile

EPR Properties is a real estate investment trust focused on experiential properties—places where people gather for recreation, entertainment and education. The company invests in and leases properties to operators, generally through long-term agreements. Its portfolio includes movie theaters, amusement and water parks, ski resorts, golf and other entertainment venues, and educational facilities such as private schools and early childhood education centers. EPR groups its investments into entertainment, recreation and education categories.