Ventas, Inc. (VTR) Stock Valuation — PE Analysis
REIT - Healthcare Facilities · NYSE
Current Price
$81.07
PE Ratio (TTM)
150.1x
Intrinsic Value
Outside reliable range
COMPETITIVE MOAT
↑Senior Housing Demand Surge
The aging baby boomer generation creates a substantial and growing demand for senior housing. This demographic trend provides Ventas with a long-term tailwind for occupancy and rental income.
↑Scale and Diversified Portfolio
Ventas operates a large, diversified portfolio of healthcare facilities across various segments. This scale offers operational efficiencies and reduces reliance on any single property or tenant.
↑Established Operator Relationships
Ventas has built long-standing relationships with experienced healthcare operators. These partnerships are crucial for managing facilities effectively and ensuring tenant stability.
INVESTMENT RISKS
↓Interest Rate Sensitivity
As a REIT, Ventas's profitability is sensitive to changes in interest rates. Rising rates can increase borrowing costs and potentially decrease property valuations.
↓Regulatory and Reimbursement Changes
The healthcare industry is subject to evolving government regulations and reimbursement policies. Changes in these areas could negatively affect the profitability of Ventas's tenants and its own revenue.
↓Senior Housing Supply/Demand Imbalance
While demand is strong, a rapid increase in new senior housing supply in certain markets could lead to oversupply, pressuring occupancy rates and rental growth.
Base case
VTR base case PE valuation
Base case assumptions: 10.2% annual earnings growth, 50x target PE, 10% discount rate, 5 year projection. Data as of 2026-10-28.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the VTR PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Ventas, Inc. respond.
Open PE Calculator for VTRCompany Overview
Ventas, Inc. is an S&P 500 company enabling exceptional environments that benefit a large and growing aging population. With approximately 1,450 properties in North America and the United Kingdom, Ventas occupies an essential role in the longevity economy. The Company’s growth is fueled by its more than 900 senior housing communities, which provide valuable services to residents and enable them to thrive in supported environments. Ventas aims to deliver outsized performance by leveraging its operational expertise, data-driven insights from its Ventas OITM platform, extensive relationships and strong financial position. The Ventas portfolio also includes outpatient medical buildings, research centers and healthcare facilities. Ventas, Inc. is based in Illinois, Chicago. Ventas, Inc. was incorporated in 1983 in Maryland.
Financial Metrics — VTR PE Stock Valuation Data
PE Ratio (TTM)
150.1x
PEG Ratio
79.57
Earnings Yield
0.64%
ROE (TTM)
1.9%
Revenue/Share (TTM)
$13.20
Dividend Yield
2.52%
Frequently Asked Questions
What is the PE ratio of VTR?
The trailing twelve-month PE ratio of VTR reflects how much investors pay per dollar of Ventas, Inc.'s earnings. This metric is most useful when compared to REIT - Healthcare Facilities peers and the company's own historical range.
Is VTR overvalued based on PE ratio?
VTR's PE of 150.1x combined with a PEG ratio of 79.57 provides a growth-adjusted perspective. A PEG above 2.0 means the P/E is high relative to the earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical REIT - Healthcare Facilities, a DCF analysis may be more appropriate.
How do I value VTR stock using PE ratio?
To value Ventas, Inc. using PE: (1) Compare the current PE (150.1x) against the REIT - Healthcare Facilities median to assess relative pricing, (2) check the PEG ratio (79.57) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of VTR?
VTR's PEG ratio is 79.57, calculated by dividing the PE ratio (150.1x) by the expected earnings growth rate. A PEG above 2.0 means the P/E is high relative to the expected earnings growth rate. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for VTR stock valuation?
PE ratio gives a quick relative read — how VTR is priced versus REIT - Healthcare Facilities peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See VTR DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Real Estate valuationsP/E and DCF value VTR with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-10-28. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.