This 13.5%-Yielding Dividend Stock Could Soar 35% Over the Next 12 Months, According to 1 Analyst

For more than two years now, very little seemed to go right for Medical Properties Trust (NYSE: MPW). Interest rates soared. Key tenants were on shaky ground. The once-growing dividend was slashed. And the share price plunged.

Unsurprisingly, there’s considerable negativity surrounding the healthcare real estate investment trust (REIT) these days. But it’s not all doom and gloom. The 13.5%-yielding dividend stock could soar 35% over the next 12 months, according to one analyst.

A big upgrade

BNP Paribas analyst Nate Crossett recently upgraded Medical Properties Trust stock from a “neutral” rating to an “outperform” rating. He also set a 12-month price target of $6, roughly 35% above the current share price.

Crossett isn’t the only analyst who thinks the REIT could be ready to rebound somewhat. RBC Capital’s Michael Carroll also has an “outperform” rating for the stock. Carroll’s price target reflects an upside potential of a little under 13%.

Four other analysts surveyed by LSEG in March recommend buying Medical Properties Trust shares. The average 12-month price target is close to 15% higher than the current share price.

However, there’s still some pessimism. Two of the 14 analysts surveyed by LSEG gave Medical Properties Trust an “underperform” rating. Another recommends selling the stock. The remaining five analysts rate the REIT as a hold.

Are things looking up for Medical Properties Trust?

Is Crossett’s rosy outlook for Medical Properties Trust warranted? Are things indeed looking up for the beaten-down REIT stock? It’s only a maybe at this point.

Medical Properties Trust established a goal to raise at least $2 billion in liquidity in 2024. It has made solid progress so far, announcing in late February the sale of five hospitals to Prime and the sale of a syndicated term loan investment in Median. CEO Ed Aldag said in the company’s fourth-quarter conference call that these transactions will raise $480 million. He added that the REIT is “actively working” on several…