DOC Stock Forecast & Price Target

Healthpeak Properties's diversified healthcare portfolio consists of approximately 700 strategically positioned properties, primarily focusing on medical office and life science assets, which are anticipated to continue generating stable revenue streams. The company's expansion within the medical office buildings (MOB) segment, evidenced by recent development starts totaling $148 million, showcases a robust growth strategy supported by a high level of pre-leasing at around 80% and expected stabilized yields of mid-7%. This combination of strong asset diversification and proactive development initiatives positions Healthpeak for continued financial success and resilience in the healthcare real estate sector.

Healthpeak Properties faces a negative outlook primarily due to increased credit risk associated with its Lab tenants, which poses a potential downside to projected earnings for 2026. The company has revised its 2026E P/AFFOPS multiple downward to 12.0x, reflecting a decrease from the previous 13.0x, alongside an adjusted forecast for compounded annual growth rates in FFOPS/AFFOPS to approximately +1%/-1% for 2026-2027, down from +2%/+1%. Additionally, weak leasing results in Q2 and anticipated headwinds to Lab occupancy in the second half of 2025 due to slow capital raising further contribute to the adverse sentiment surrounding its financial performance.