Diversified Healthcare Trust
DHC on Nasdaq. Diversified Healthcare Trust rents senior living communities, medical offices and healthcare properties to tenants. Market value $1.8bn.
Price checks use the past 12 months to June 2026. Quality checks use five annual reports, the latest for the year to December 2025.
The company doesn't report operating profit, so we work it out from pre-tax profit and interest.
Should I look at this?
Not a fit for our list right now
Why it could be worth it
See Real estate stocks that passed both tests
This is not advice. Check the numbers below.
For every $100 of what the whole company costs, it produced $-8.45 of spare cash in the past 12 months. A savings account pays about $4.
The filings do not give us enough to work this out.
The filings do not give us enough to work this out.
Quality score: 25 of 100. Price score: 0 of 100. Our list needs 70 on quality and 60 on price.
$7.58 a share, 93% above its 1-year low
Over the past year the price has ranged from $3.92 to $9.66.
Dividend: 0.5% a year
Paid every year for at least 5 years
Prices from Tuesday’s close (6 October).
Five years of cash, in billions
| Revenue | |||||
| Revenue | $1.4bn | $1.3bn | $1.4bn | $1.5bn | $1.5bn |
| Operating margin | |||||
| Operating margin | 31.6% | 14.7% | -5.7% | -9.1% | -7.6% |
| Debt to equity | |||||
| Debt to equity | n/a | n/a | n/a | 1.56 | 1.47 |
| Shares outstanding | |||||
| Shares outstanding | 0.24bn | 0.24bn | 0.24bn | 0.24bn | 0.24bn |
Health checks
- Free cash flow positive0 of 5 years
- Accounting looks honest (Beneish)Not enough data
- Financial strength (Piotroski)3 of 7 checks we could run
- Profit backed by cash (accruals)Yes
- Debt1.47× equity
- Revenue growth, five yearsShrinking, 1.2% a year
- Buying back its own sharesRoughly flat
The quarter to June 2026
How the business did, compared with the same quarter a year earlier.
- Sales: $365 million last quarter, down 5% on a year ago.
- A loss of $37 million, compared with a loss of $92 million a year ago.
- Over the past 12 months it spent $155 million more cash than it brought in, compared with $99 million a year earlier.
- About the same number of shares as a year ago.
- Sales grew on a year ago in 1 of the last 4 quarters.
| Quarter to | Amount |
|---|---|
| September 2024 | $374m |
| December 2024 | $380m |
| March 2025 | $387m |
| June 2025 | $383m |
| September 2025 | $389m |
| December 2025 | $380m |
| March 2026 | $366m |
| June 2026 | $365m |
| Quarter to | Amount |
|---|---|
| September 2024 | -$99m |
| December 2024 | -$87m |
| March 2025 | -$9m |
| June 2025 | -$92m |
| September 2025 | -$164m |
| December 2025 | -$21m |
| March 2026 | -$43m |
| June 2026 | -$37m |
From the company's quarterly reports to the SEC.
Dates
- Next results (estimated)
- n/a
- Last annual report (10-K)
- 24 February 2026
- Next quarterly (estimated, 10-Q)
- 2 November 2026
Who owns it
None of the long-term investors we follow own it. 239 funds in all.
Largest holders overall
- Flat Footed$218m
- BlackRock$215mCut
- Silver Point Capital L.P.$144m
- H/2 Credit Manager LP$119mCut
- Vanguard Portfolio Management$99mAdded
- Vanguard Capital Management$90m
- State Street$84m
- Geode Capital Management$66mAdded
- Davidson Kempner Capital Management LP$60mAdded
- Nomura Holdings$58mCut
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
3 investors own more than 5%.
- Flat Footed LLCPassive investorat least 9.7%(filed with 2 related holders)Since 30 June 2026
- BlackRock, Inc.Passive investor8.9%Since 30 June 2026
- H/2 Special Opportunities IV L.P.Passive investorat least 5.0%(filed with 1 related holder)Since 12 August 2026
What they said
Item 4 of the Schedule 13D is hereby supplemented as follows: On June 30, 2023, an affiliate of the Reporting Person delivered a letter to the Chairman of the Board of Trustees of the Issuer (the "Letter") with respect to the Issuer's then-proposed merger with Office Properties…
Read the filing - The Vanguard GroupPassive investorSold down below 5%Since 13 March 2026
| Holder | Stake | Since | |
|---|---|---|---|
Flat Footed LLC Passive investor | at least 9.7% (filed with 2 related holders) | 30 June 2026 | |
BlackRock, Inc. Passive investor | 8.9% | 30 June 2026 | |
H/2 Special Opportunities IV L.P. Passive investor | at least 5.0% (filed with 1 related holder) | 12 August 2026 | What they saidItem 4 of the Schedule 13D is hereby supplemented as follows: On June 30, 2023, an affiliate of the Reporting Person delivered a letter to the Chairman of the Board of Trustees of the Issuer (the "Letter") with respect to the Issuer's then-proposed merger with Office Properties… Read the filing |
The Vanguard Group Passive investor | Sold down below 5% | 13 March 2026 |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
In the last 12 months, 1 insider bought $97,800 of shares on the open market.
- Bilotto Christopher J.President and CEO, DirectorBought
- Date
- 15 December 2025
- Shares
- 20,000
- Price
- $4.89
- Value
- $97,800
| Date | Who | Did | Shares | Price | Value |
|---|---|---|---|---|---|
| 15 December 2025 | Bilotto Christopher J. President and CEO, Director | Bought | 20,000 | $4.89 | $97,800 |
From Form 4 filings: insiders must report trades in their own company's shares within two days.
Warning signs in its filings
Problems the company itself reported to the SEC, in its own words.
None of the warning signs we check for were found.
We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.
We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 24 Feb 2026, plus the 10-Q filed 3 Aug 2026 and 5 later 8-Ks.
A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.
What could go wrong
- Sales have shrunk: 1.2% a year.
Whether the price already reflects the risks is what the deep dive is for.
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.