DHC

Real Estate

Diversified Healthcare Trust · REIT - Healthcare Facilities · $2B

UQS Score — Balanced Preset
19.4
Poor

Diversified Healthcare Trust scores 19.4/100 using the Balanced preset.

UQS vs Real Estate Sector
DHC
19.4
Sector avg
38.4
Quality
Weak
Moat
Weak
Growth
Weak
Risk
Neutral
Valuation
Elevated

What is Diversified Healthcare Trust?

Diversified Healthcare Trust is a real estate investment trust focused on healthcare-related properties across the United States. Externally managed by The RMR Group, DHC operates a portfolio spanning multiple property types within the healthcare real estate sector.

DHC generates revenue primarily through leasing and operating healthcare real estate assets. Its portfolio includes medical office buildings, life science properties, senior living communities, and wellness centers. The trust relies on rental income and operating revenues from these facilities. As an externally managed REIT, day-to-day operations and strategic decisions are handled by The RMR Group's operating subsidiary, which also manages other publicly traded real estate entities.

DHC was established in 2000 and is headquartered in Newton, Massachusetts.

  • Medical office and life science properties
  • Senior living communities across the US
  • Wellness centers and outpatient facilities
  • Externally managed REIT structure via The RMR Group

Is DHC a Good Stock to Buy?

UQS Score rates DHC as Poor overall, placing it among the lower-ranked names in the healthcare REIT space.

The Risk and Valuation pillars both register as Neutral, suggesting the stock does not carry extreme near-term financial distress signals relative to its price, and that valuation is not dramatically stretched by sector standards.

Quality, Moat, and Growth all score as Weak — reflecting meaningful challenges in business durability, competitive positioning, and the ability to expand earnings over time.

See the exact pillar breakdown and underlying financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does DHC pay dividends?

Yes — Diversified Healthcare Trust pays a dividend.

DHC pays a regular dividend, which is common for REITs that are required to distribute a substantial portion of taxable income to shareholders. Income-focused investors should weigh the dividend against the trust's Weak Quality and Growth pillar ratings, as sustained payouts depend on stable operating cash flows — an area where DHC faces ongoing pressure.

When does DHC report earnings?

Diversified Healthcare Trust reports earnings on a quarterly cadence, consistent with US-listed REIT reporting norms.

DHC's Weak Quality and Growth pillar ratings suggest the trust has faced headwinds in generating consistent operating improvement. Senior living and medical office portfolios have navigated a challenging post-pandemic environment across the sector.

For the most recent quarter's results and supplemental data, visit Diversified Healthcare Trust's investor relations page directly.

DHC Price History

+114.4% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

DHC Long-term Outlook

DHC's Growth pillar is rated Weak, pointing to limited near-term expansion in revenues or earnings. The Neutral Risk rating provides some stability context, but the combination of Weak Quality and Weak Moat suggests the trust lacks the durable competitive advantages that typically support a strong long-term growth trajectory. Investors should monitor occupancy trends in senior living and life science leasing demand as key indicators.

Growth drivers

  • Aging US population increasing demand for senior living and medical real estate
  • Potential portfolio repositioning toward higher-quality life science assets
  • Broader healthcare real estate sector tailwinds from long-term demographic trends

Key risks

  • Weak Moat rating signals limited pricing power and tenant retention advantages
  • External management structure may create conflicts of interest with shareholders
  • Elevated operating costs in senior living communities pressuring cash flow

DHC vs Peers

DHC competes within the healthcare REIT segment alongside several peers focused on medical and senior-care real estate.

LTCDHC scores lower
LTC Properties, Inc.

LTC focuses primarily on senior housing and skilled nursing facilities through a triple-net lease structure, which tends to provide more predictable income streams than DHC's operating model.

SILADHC scores lower
Sila Realty Trust, Inc.

Sila concentrates on net-leased healthcare facilities with a focus on outpatient and clinical settings, offering a different risk profile compared to DHC's senior living exposure.

NHIDHC scores lower
National Health Investors, Inc.

NHI targets senior housing and medical facilities through long-term lease and mortgage structures, with a track record of dividend consistency that contrasts with DHC's more pressured payout history.

Frequently Asked Questions

What does Diversified Healthcare Trust do?

Diversified Healthcare Trust is a REIT that owns and operates a portfolio of healthcare real estate assets across the United States. These include medical office buildings, life science properties, senior living communities, and wellness centers. The trust is externally managed by The RMR Group.

Does DHC pay dividends?

Yes, DHC pays a regular dividend. As a REIT, it is structured to distribute a significant portion of taxable income to shareholders. However, the sustainability of that dividend should be evaluated in the context of DHC's Weak Quality and Growth pillar ratings, which reflect ongoing operational challenges.

When does DHC report earnings?

Diversified Healthcare Trust reports on a quarterly basis, in line with standard US-listed REIT practice. For exact dates and supplemental financial disclosures, check the investor relations section of the company's official website.

Is DHC a good stock to buy?

UQS Score rates DHC as Poor, driven by Weak scores across Quality, Moat, and Growth. While Risk and Valuation are Neutral, the overall profile suggests meaningful fundamental challenges. Investors should review the full pillar breakdown available to UQS Pro members before drawing conclusions.

Is DHC overvalued?

DHC's Valuation pillar is rated Neutral, meaning the stock does not appear dramatically overpriced or deeply discounted relative to sector peers based on UQS methodology. That said, valuation alone does not determine investment quality — the Weak Quality and Moat ratings remain important context.

How does DHC compare to its competitors?

Compared to peers like LTC Properties, Sila Realty Trust, and National Health Investors, DHC carries a broader and more operationally complex portfolio that includes senior living communities. This operating exposure introduces more variability than the net-lease structures favored by some competitors.

What is DHC's market cap bracket?

DHC is classified as a small-cap stock. This places it below the large-cap healthcare REITs in terms of total market value, which can mean lower liquidity and higher volatility relative to larger peers in the sector.

Who founded Diversified Healthcare Trust?

Diversified Healthcare Trust was established in 2000. The trust has been externally managed by The RMR Group since its formation. For detailed founding history and governance information, the company's investor relations materials are the most reliable source.

Is DHC a long-term quality investment?

From a long-term quality standpoint, DHC's UQS profile raises caution. Weak ratings across Quality, Moat, and Growth suggest the trust currently lacks the durable fundamentals typically associated with strong long-term compounders. The full pillar analysis is available to Pro members for a deeper view.

What is the main competitive advantage of Diversified Healthcare Trust?

DHC's Moat pillar is rated Weak, indicating limited identifiable competitive advantages relative to sector peers. Its scale across multiple healthcare real estate categories provides some diversification, but this has not translated into a strong moat profile under UQS methodology.

What sector does DHC belong to?

DHC operates in the Real Estate sector, specifically within the healthcare REIT sub-segment. This includes ownership of medical office, life science, senior living, and wellness properties — all tied to the broader healthcare infrastructure market in the United States.

Is DHC a growth stock or value stock?

Based on UQS pillar labels, DHC does not fit neatly into either category. Its Growth pillar is Weak, ruling out a growth classification, while its Neutral Valuation rating does not signal a deep-value opportunity. It currently occupies an uncertain middle ground within the healthcare REIT space.

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Pro Analysis

DHC — Score History

101520253035Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 15 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 16, 202621.20.015.026.147.334.60.0
May 15, 202621.20.015.026.147.334.0+0.1
May 11, 202621.10.015.026.147.333.4+1.3
May 10, 202619.80.015.026.147.324.7-4.7
May 4, 202624.51.215.028.748.150.1-0.1
May 3, 202624.61.215.029.048.150.1+1.0
May 1, 202623.61.215.029.048.143.3-0.4
Apr 29, 202624.01.215.029.048.146.3-0.3
Apr 25, 202624.31.215.030.348.146.3+0.3
Apr 24, 202624.01.215.030.348.144.3+0.1

DHC — Pillar Breakdown

Quality

0.0/100 (25%)

Diversified Healthcare Trust currently shows below-average quality metrics, suggesting challenges with profitability.

Return on EquityWeak

Profitability relative to shareholders' equity.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

26.1/100 (20%)

Diversified Healthcare Trust faces growth headwinds with declining or stagnant revenue trends.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthStrong

Year-over-year earnings per share growth.

Forward Revenue OutlookWeak

Analyst consensus for future revenue growth.

Risk

47.3/100 (15%)

Diversified Healthcare Trust has some risk factors including moderate leverage or solvency concerns.

Debt/EquityWeak

Total debt relative to shareholder equity.

Current RatioStrong

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

22.6/100 (15%)

Diversified Healthcare Trust appears expensively valued relative to its fundamentals and growth prospects.

EV/EBITDA vs SectorWeak

Enterprise value multiple relative to sector median.

Moat

15/100 (25%)

Diversified Healthcare Trust operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for DHC.

Score Composition

Quality
0.0×25%0.0
Growth
26.1×20%5.2
Risk
47.3×15%7.1
Valuation
22.6×15%3.4
Moat
15.0×25%3.8
Total
19.4Poor

Financial Data

More Stock Analysis

How is the DHC UQS Score Calculated?

The UQS (Unified Quality Score) for Diversified Healthcare Trust is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Diversified Healthcare Trust's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Diversified Healthcare Trust is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.