With the total return of its shares collapsing by 30% in the last 12 months, Medical Properties Trust (NYSE: MPW) hasn't made its investors richer lately. The business, a hospital and clinic landlord, faces a barrage of headwinds, and the bear market certainly didn't help much. 

Still, it's sometimes possible to secure outsize gains by investing in a company precisely when everything seems terrible. With that in mind, let's consider this stock's bull and bear cases so that you'll have a balanced perspective when it comes time to decide whether to buy it for yourself. 

To believe that Medical Properties Trust's stock or dividend will rise soon, you need to believe two things first, that it will be able to profitably operate its portfolio of hospital real estate, which is worth around $19.7 billion in assets. And second, that it will be able to grow that portfolio and generate more rent given its debt load. It'd also be a bonus if the company's valuation is low.

Continue reading

Source Fool.com