Why LTC Properties Stock Advanced 15% in April
Shares of healthcare-focused real estate investment trust (REIT) LTC Properties (NYSE: LTC) rose about 15% in April, according to data from S&P Global Market Intelligence. The average REIT was up around 9%, using Vanguard Real Estate ETF as a proxy, and the S&P 500 index was up 13%. But don't read too much into that gain; through the first four months of the year. LTC was still down roughly 31%, which was worse than the average REIT and the S&P 500.
Assisted living and skilled nursing facilities make up roughly 85% of LTC Properties' portfolio (accounting for about 81% of revenue). The rest is made up of loans to nursing homes. In other words, it is focused squarely on investing in long-term care facilities -- which is basically what LTC stands for. Normally a fairly consistent business, COVID-19 has turned senior housing into a very uncertain place.
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Source Fool.com
