GET DAILY SIGNALSCareTrust REIT (CTRE) Delivers +33% Revenue Growth in Q3 2026
Key Takeaways
- CareTrust REIT reported third-quarter 2026 net income of $83.7 million, with total revenue of $176.4 million, up 33% year over year.
- Normalized FFO rose 20% to $129.2 million, or $0.54 per diluted share, above the roughly $0.52 consensus estimate.
- Normalized FAD increased 20% to $127.0 million, or $0.53 per share, and the company collected 100% of contractual rent and interest.
- The company raised its full-year 2026 guidance midpoints, now projecting Normalized FFO of $2.08 to $2.09 per share.
- A quarterly dividend of $0.39 per share was declared, up from $0.335 in the year-ago period.
Earnings Context and Why It Matters
CareTrust REIT, Inc. (CTRE) is a self-administered real estate investment trust that owns and leases skilled nursing, seniors housing, and other healthcare-related properties across the United States and the United Kingdom. Its third-quarter 2026 results matter because the company is in an aggressive external growth phase, deploying hundreds of millions of dollars into new investments, including a major U.K. expansion. For investors, this report offers a fresh read on acquisition momentum, rent collection quality, and whether rising leverage remains well-managed. With the company also updating full-year guidance, the quarter serves as a checkpoint on both near-term execution and the sustainability of its dividend growth. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
Reported Results
For the third quarter ended September 30, 2026, CareTrust REIT reported net income attributable to the company of $83.7 million. Total revenue reached $176.4 million, up 33% from $132.4 million in the prior-year quarter, driven by rental income, resident fees and services, and interest income from financing receivables.
On the metrics most closely followed by REIT investors, Normalized FFO rose 20% year over year to $129.2 million, or $0.54 per diluted share, while Normalized FAD increased 20% to $127.0 million, or $0.53 per share. Normalized FFO came in ahead of the consensus estimate of roughly $0.52 per share. The company collected 100% of contractual rent and interest during the quarter and declared a quarterly dividend of $0.39 per share. From what I see, the beat on Normalized FFO highlights solid operational execution.
Management also raised its 2026 guidance midpoints. The company now expects net income attributable to CareTrust REIT of $1.50 to $1.51 per share, Normalized FFO of $2.08 to $2.09 per share, and Normalized FAD of $2.04 to $2.05 per share, assuming about 240 million weighted-average diluted shares.
Market Reaction and Investor Sentiment
CareTrust REIT entered the quarter with strong investor attention focused on its acquisition pipeline and international expansion, particularly the newly announced U.K. care-home transaction. The company's ability to deploy capital at an 8.3% blended stabilized yield during the quarter, alongside a raised full-year guidance midpoint, reinforces a growth-oriented narrative that has supported the stock's premium valuation relative to many peers.
Key sentiment drivers include the 20% growth in Normalized FFO and FAD, the dividend increase, and the continued 100% rent collection rate. At the same time, investors are weighing rising leverage and a heavier reliance on debt financing, as reflected in a new $700 million term loan and an expanded revolving credit facility. The balance between rapid expansion and prudent capital management will likely shape how the market digests these results in the days following the release.
Forward Outlook and Key Factors to Monitor
Looking ahead, the primary catalyst is execution on the company's U.K. acquisition program. On October 1, 2026, CareTrust completed the initial closing of 23 newly built U.K. care homes, part of a 45-home transaction with LNT Care Developments valued at roughly £1.1 billion. Investors will watch how quickly these assets contribute to rental income and whether their operational ramp meets expectations.
Capital deployment remains a central theme. CareTrust closed $739.5 million of investments in the quarter and about $2.9 billion year to date, followed by an additional $273.8 million after quarter end at a 10.6% blended stabilized yield. The pace and quality of future acquisitions will be a key driver of both FFO growth and balance-sheet metrics. I’m watching this closely as the numbers come in.
Costs and financing also deserve attention. The company's expanded borrowing capacity and recent term loan provide liquidity for growth, but rising interest expense and transaction costs should be monitored for their effect on margins. Finally, the sustainability of the raised dividend, now $0.39 per share, will depend on continued FAD growth and disciplined payout management.
Using Tickeron’s AI Tools for Research
In my own analysis of healthcare REITs like CTRE, I find Tickeron’s AI Screener helpful for quickly comparing fundamentals and technical signals across peers. It allows me to filter by industry metrics and performance trends in a single view, which adds useful context when evaluating quarterly results and guidance updates. This approach keeps the research process efficient without replacing traditional due diligence.
Disclaimer
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Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
CTRE in upward trend: price rose above 50-day moving average on November 04, 2026
CTRE moved above its 50-day moving average on November 04, 2026 date and that indicates a change from a downward trend to an upward trend. In 33 of 41 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are 80%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where CTRE's RSI Indicator exited the oversold zone, 17 of 22 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 77%.
The Momentum Indicator moved above the 0 level on November 02, 2026. You may want to consider a long position or call options on CTRE as a result. In 58 of 80 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 73%.
The Moving Average Convergence Divergence (MACD) for CTRE just turned positive on October 12, 2026. Looking at past instances where CTRE's MACD turned positive, the stock continued to rise in 28 of 46 cases over the following month. The odds of a continued upward trend are 61%.
Following a +5.01% 3-day Advance, the price is estimated to grow further. Considering data from situations where CTRE advanced for three days, in 218 of 325 cases, the price rose further within the following month. The odds of a continued upward trend are 67%.
Bearish Trend Analysis
The Stochastic Oscillator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
The 50-day moving average for CTRE moved below the 200-day moving average on October 09, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CTRE declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 50%.
CTRE broke above its upper Bollinger Band on November 06, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for CTRE entered a downward trend on October 19, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 7 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 57, placing this stock better than average.
The Tickeron Price Growth Rating for this company is 56 (best 1 - 100 worst), indicating fairly steady price growth. CTRE’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 74 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 74 (best 1 - 100 worst), indicating slightly better than average sales and a considerably profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 97 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.010) is normal, around the industry mean (3.160). P/E Ratio (23.881) is within average values for comparable stocks, (30.624). Projected Growth (PEG Ratio) (0.370) is also within normal values, averaging (1.649). Dividend Yield (0.041) settles around the average of (0.049) among similar stocks. CTRE's P/S Ratio (18.762) is very high in comparison to the industry average of (6.013).
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
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a real estate investment trust
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