Health Care REIT Inc. (HCN): Today's Featured Real Estate Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Health Care REIT ( HCN) pushed the Real Estate industry higher today making it today's featured real estate winner. The industry as a whole closed the day up 0.5%. By the end of trading, Health Care REIT rose $1.30 (1.7%) to $77.30 on average volume. Throughout the day, 1,960,503 shares of Health Care REIT exchanged hands as compared to its average daily volume of 2,008,000 shares. The stock ranged in a price between $75.60-$77.30 after having opened the day at $76.07 as compared to the previous trading day's close of $76.00. Other companies within the Real Estate industry that increased today were: Doral Financial ( DRL), up 8.6%, Capital ( CT), up 6.8%, Blackstone Mortgate ( BXMT), up 6.8% and IFM Investments ( CTC), up 5.6%.
  • EXCLUSIVE OFFER: Jim Cramer's Protege, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Health Care REIT, Inc. is an independent equity real estate investment trust. The firm engages in acquiring, planning, developing, managing, repositioning and monetizing of real estate assets. It primarily invests in the real estate markets of the United States. Health Care REIT has a market cap of $19.8 billion and is part of the financial sector. The company has a P/E ratio of 103.9, above the S&P 500 P/E ratio of 17.7. Shares are up 24.0% year to date as of the close of trading on Tuesday. Currently there are 7 analysts that rate Health Care REIT a buy, 2 analysts rate it a sell, and 9 rate it a hold.

TheStreet Ratings rates Health Care REIT as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, impressive record of earnings per share growth, compelling growth in net income, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company shows low profit margins.

On the negative front, China Housing & Land Development ( CHLN), down 10.1%, Western Asset Mortgage Capital ( WMC), down 8.0%, Marlin Business Services ( MRLN), down 4.7% and MHI Hospitality Corporation ( MDH), down 4.6% , were all laggards within the real estate industry with Two Harbors Investment ( TWO) being today's real estate industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the real estate industry could consider iShares Dow Jones US Real Estate ( IYR) while those bearish on the real estate industry could consider ProShares Short Real Estate Fund ( REK).

Exclusive Offer: Jim Cramer's 'go-to' small/mid-cap guru Bryan Ashenberg only buys stocks he thinks could return 50-100%. See his top picks for 14-days FREE.