5 Best REIT Dividend Stocks

In this article, we discuss 5 best REIT dividend stocks. If you want to read our detailed discussion of the REIT sector and its performance over the years, go directly to read 11 Best REIT Dividend Stocks. 

5. Medical Properties Trust, Inc. (NYSE:MPW)

Number of Hedge Fund Holders: 28

An American real estate investment trust company, Medical Properties Trust, Inc. (NYSE:MPW) invests in healthcare facilities across the country. In April, Barclays maintained an Overweight rating on the stock with a $12 price target, presenting a strong outlook on the company’s performance.

Medical Properties Trust, Inc. (NYSE:MPW) currently pays a quarterly dividend of $0.29 per share and has a dividend yield of 13.86%, as of April 18. The company is one of the best dividend stocks on our list as it has raised its payouts for nine years in a row.

At the end of December 2022, 28 hedge funds tracked by Insider Monkey reported having stakes in Medical Properties Trust, Inc. (NYSE:MPW), up from 23 in the previous quarter. These stakes have a collective value of over $367.5 million.

Miller Value Partners mentioned Medical Properties Trust, Inc. (NYSE:MPW) in its Q1 2023 investor letter. Here is what the firm has to say:

“Medical Properties Trust, Inc. (NYSE:MPW) fell during the period after it reported 4Q22 revenue of $380.5MM, -7.0% Y/Y, ahead of consensus of $379.0MM, and Normalized FFO/share of $0.43, -8.5% Y/Y, in-line with consensus. In February, the REIT announced it entered into a $1.2B sale-leaseback transaction, in which CommonSpirit Health will acquire and lease MPW’s Utah hospital portfolio, which is currently operated by Steward Health Care. This transaction allows Medical Properties Trust to add a new high-quality tenant, and also reduce the REIT’s tenant concentration from Steward, which previously accounted for ~20-25% of total revenues, in exchange for a rental rate step-down, which management indicated is a reflection of CommonSpirit’s A-rated credit, rather than a reflection of the cash flow generating capabilities of the relevant hospitals. Management maintained its quarterly dividend of $0.29/share, implying an annualized yield of 14.1%, and guided for FY23 Normalized FFO/share of $1.58 (-13.2% Y/Y), implying a P/FFO multiple of 5.2x, at the midpoint.”