Top REIT Stock Pays 5.4%, Strong FFO Growth, But Wait For A Drop

This company has produced exceptional risk-adjusted returns for shareholders since 2001. Strong stock performance is the result of above-average FFO and dividend growth throughout the economic cycle. Its long-term growth drivers are intact. However, shares are about fairly valued, in my opinion. I'd wait for a drop before buying. An investment in the stock yields 5.4 percent.

Ventas, Inc. (NYSE:VTR) is a healthcare REIT with a strong, diversified real estate portfolio that will continue to benefit from an aging U.S. population in the coming decades. The company has grown both FFO/share and its dividend at a fast clip in recent years. That being said, though, Ventas shares have had a very good run since March and are now about fairly valued, in my opinion. I'd wait for a drop towards $50 before gobbling up shares for an income portfolio.

Source: Seeking Alpha

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