Medical Properties Trust: Stock Price Is Not Going Anywhere

Summary

  • Medical Properties Trust faces complications with Steward. Mr. Market has overblown the risks.
  • Lease rejection after a period of inflation is usually favorable to a company like this.
  • The biggest risk lies in negotiating away the superior position.
  • Steward is roughly 20% of the company business. But the chances of a loss of more than 1% of the overall portfolio assets are slim.
  • Companies like Steward with mostly secured properties will usually reorganize outside of bankruptcy.
  • This idea was discussed in more depth with members of my private investing community, Oil & Gas Value Research. Learn More »

Paramedics taking patient on stretcher from ambulance to hospital

JazzIRT

Medical Properties Trust (NYSE:MPW) is a company where I previously noted that I sold the stock. The reason is that the stock entered a period where I did not believe that the stock price would "run away" from me. So

Long Player believes oil and gas is a boom-bust, cyclical industry. It takes patience, and it certainly helps to have experience. He has been focusing on this industry for years. He is a retired CPA, and holds an MBA and MA. He leads the investing group Oil & Gas Value Research. He looks for under-followed oil companies and out-of-favor midstream companies that offer compelling opportunities. The group includes an active chat room in which Oil & Gas investors discuss recent information and share ideas. Learn more.

This article was written by

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Long Player believes oil and gas is a boom-bust, cyclical industry. It takes patience, and it certainly helps to have experience. He has been focusing on this industry for years. He is a retired CPA, and holds an MBA and MA.

He leads the investing group Oil & Gas Value Research. He looks for under-followed oil companies and out-of-favor midstream companies that offer compelling opportunities. The group includes an active chat room in which Oil & Gas investors discuss recent information and share ideas. Learn more.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of XOM either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

I may initiate a position in EPM and MPW without further notice. Disclaimer: I am not an investment advisor, and this article is not meant to be a recommendation of the purchase or sale of stock. Investors are advised to review all company documents and press releases to see if the company fits their own investment qualifications.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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