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CTRE Stock Analysis - CareTrust REIT, Inc. AI Rating

CTRE NYSE Real Estate Investment Trusts MD CIK: 0001590717
Recently Updated • Analysis: Mar 23, 2026 • SEC Data: 2025-12-31
AI Rating
STRONG BUY
78% Confidence

📊 CTRE Key Takeaways

Revenue: $476.4M
Net Margin: 67.3%
Free Cash Flow: $391.1M
Current Ratio: N/A
Debt/Equity: 0.22x
EPS: $1.57
AI Rating: STRONG BUY with 78% confidence

Investment Thesis

CareTrust REIT demonstrates exceptional profitability with 67.3% net margins and 82.1% free cash flow margins, indicating highly efficient operations and strong cash generation. The company maintains a conservative capital structure with 0.22x debt-to-equity and 7.4x interest coverage, providing substantial financial flexibility while generating substantial free cash flow of $391.1M. Core fundamentals are robust despite the unusual revenue increase which appears driven by acquisition activity typical of REIT growth strategies.

CTRE Strengths

  • + Exceptional net profit margin of 67.3% and operating margin of 68.3% indicating operational excellence
  • + Outstanding free cash flow generation of $391.1M with 82.1% FCF margin supporting distributions
  • + Conservative leverage with 0.22x debt-to-equity ratio and healthy 7.4x interest coverage ratio
  • + Strong asset base of $5.1B with substantial equity cushion of $4.0B
  • + Solid free cash flow conversion with $391.1M FCF from $394.0M operating cash flow

CTRE Risks

  • ! Unusually high revenue growth rate of 38789.2% YoY suggests major acquisition or portfolio restructuring that requires verification
  • ! Modest ROE of 7.9% and ROA of 6.2% indicate moderate returns on deployed capital despite strong margins
  • ! REIT business model creates dependency on consistent rent collection and property valuations
  • ! 12 Form 4 insider filings in 90 days warrant monitoring for potential signaling concerns
  • ! Capital-light model with only $2.9M capex may indicate mature portfolio that requires reinvestment scrutiny

Key Metrics to Watch

CTRE Financial Metrics

Revenue
$476.4M
Net Income
$320.5M
EPS (Diluted)
$1.57
Free Cash Flow
$391.1M
Total Assets
$5.1B
Cash Position
$198.0M

💡 AI Analyst Insight

The 82.1% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.

CTRE Profitability Ratios

Gross Margin N/A
Operating Margin 68.3%
Net Margin 67.3%
ROE 7.9%
ROA 6.2%
FCF Margin 82.1%

CTRE vs Default Sector

How CareTrust REIT, Inc. compares to Default sector averages

Net Margin
CTRE 67.3%
vs
Sector Avg 12.0%
CTRE Sector
ROE
CTRE 7.9%
vs
Sector Avg 15.0%
CTRE Sector
Current Ratio
CTRE 0.0x
vs
Sector Avg 1.8x
CTRE Sector
Debt/Equity
CTRE 0.2x
vs
Sector Avg 0.7x
CTRE Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CTRE Balance Sheet & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.22x
Debt/Assets
21.2%
Interest Coverage
7.44x
Long-term Debt
$894.2M

CTRE 5-Year Financial Trend

CTRE 5-year financial data: Year 2019: Revenue $3.4M, Net Income N/A, EPS N/A. Year 2020: Revenue $3.4M, Net Income N/A, EPS N/A. Year 2021: Revenue $3.4M, Net Income $46.4M, EPS $0.49. Year 2022: Revenue $2.1M, Net Income $80.9M, EPS $0.85. Year 2025: Revenue $1.2M, Net Income $53.7M, EPS $0.50.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: CareTrust REIT, Inc.'s revenue has declined by 64% over the 5-year period, indicating business contraction. The most recent EPS of $0.50 reflects profitable operations.

CTRE Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
82.1%
Free cash flow / Revenue

CTRE Quarterly Performance

Quarterly financial performance data for CareTrust REIT, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $77.4M $33.4M $0.21
Q2 2025 $68.9M $10.8M $0.07
Q1 2025 $63.1M $28.7M $0.22
Q3 2024 $55.9M $8.7M $0.08
Q2 2024 $51.6M -$484.0K $-0.01
Q1 2024 $50.6M $19.2M $0.19
Q3 2023 $50.3M $709.0K $0.01
Q2 2023 $47.6M -$484.0K $-0.01

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CTRE Capital Allocation

Operating Cash Flow
$394.0M
Cash generated from operations
Capital Expenditures
$2.9M
Investment in assets
Dividends Paid
$259.3M
Returned to shareholders

CTRE SEC Filings

Access official SEC EDGAR filings for CareTrust REIT, Inc. (CIK: 0001590717)

📋 Recent SEC Filings

Date Form Document Action
Mar 13, 2026 DEF 14A ctre-20260312.htm View →
Mar 2, 2026 8-K ctre-20260302.htm View →
Feb 18, 2026 8-K ny20065014x3_8k.htm View →
Feb 12, 2026 8-K ctre-20260212.htm View →
Feb 12, 2026 10-K ctre-20251231.htm View →

Frequently Asked Questions about CTRE

What is the AI rating for CTRE?

CareTrust REIT, Inc. (CTRE) has an AI rating of STRONG BUY with 78% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CTRE's key strengths?

Exceptional net profit margin of 67.3% and operating margin of 68.3% indicating operational excellence. Outstanding free cash flow generation of $391.1M with 82.1% FCF margin supporting distributions.

What are the risks of investing in CTRE?

Unusually high revenue growth rate of 38789.2% YoY suggests major acquisition or portfolio restructuring that requires verification. Modest ROE of 7.9% and ROA of 6.2% indicate moderate returns on deployed capital despite strong margins.

What is CTRE's revenue and growth?

CareTrust REIT, Inc. reported revenue of $476.4M.

Does CTRE pay dividends?

CareTrust REIT, Inc. pays dividends, with $259.3M distributed to shareholders in the trailing twelve months.

Where can I find CTRE SEC filings?

Official SEC filings for CareTrust REIT, Inc. (CIK: 0001590717) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CTRE's EPS?

CareTrust REIT, Inc. has a diluted EPS of $1.57.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 23, 2026 | Data as of: 2025-12-31 | Powered by Claude AI