CareTrust REIT Inc (CTRE) is fairly valued and Welltower Inc (WELL) is overvalued.
Against our estimates of intrinsic value, CTRE trades at the wider discount: a margin of safety of +1%, against -215% for WELL.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.7% (average of 3 methods) values the shares at $37.70; the price of $37.43 is 1% below that value, and 78% of that value comes from beyond year five.
Leak Score 27/100 on 3 of 12 signals
Discounting its cash flows at 8.7% (average of 2 methods) values the shares at $73.15; the price of $230.39 is 215% above that value, and 78% of that value comes from beyond year five.
Leak Score 49/100 on 8 of 12 signals
| Metric | CTRE | WELL |
|---|---|---|
| Verdict | Fairly valued | Overvalued |
| Price | $37.43 | $230.39 |
| Intrinsic value | $37.70 | $73.15 |
| Margin of safety | +1% | -215% |
| Leak Score | 27/100 (3/12) | 49/100 (8/12) |
| Market cap | $8.8B | $166.1B |
| Revenue growth, 5 years | 21.7% | 18.7% |
| Operating margin | 64.9% | 5.3% |
| Net margin | 62.1% | -2.8% |
| Return on equity | 9.1% | 3.8% |
| Debt to equity | 0.27 | 0.42 |
| P/E | 23.6x | — |
| Forward P/E | 22.3x | 70.9x |
| P/B | 2.0x | 3.6x |
| Dividend yield | 4.2% | 1.4% |