Sifting through countless of stocks in the Health Care REITs industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in CareTrust REIT, Inc. or Diversified Healthcare Trust because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how CareTrust REIT, Inc. and Diversified Healthcare Trust compare based on key financial metrics to determine which better meets your investment needs.

About CareTrust REIT, Inc. and Diversified Healthcare Trust

CareTrust REIT, Inc. is a self-administered, publicly traded real estate investment trust engaged in the ownership, acquisition, development and leasing of skilled nursing, senior housing and other healthcare-related properties. With a portfolio of long-term net-leased properties spanning the United States and United Kingdom, and a growing portfolio of quality operators leasing them, CareTrust is pursuing both external and organic growth opportunities across the United States and internationally. CareTrust REIT, Inc. was established and incorporated on October 29, 2013 and is based in Dana Point, United States.

Diversified Healthcare Trust is a real estate investment trust focused on owning high-quality healthcare properties located throughout the United States. DHC seeks diversification across the health services spectrum by care delivery and practice type, by scientific research disciplines and by property type and location. As of March 31, 2026, DHC’s approximately 6.2 billion dollars portfolio included 285 properties in 33 states and Washington, D.C., with 23,901 senior living units, approximately 5.6 million square feet of medical office and life science properties and occupied by approximately 250 tenants. DHC is managed by The RMR Group, a leading U.S. alternative asset management company with over 37 billion dollars in assets under management as of March 31, 2026 and 40 years of institutional experience in buying, selling, financing and operating commercial real estate. DHC is headquarters in Newton, MA. Diversified Healthcare Trust was incorporated in 1998 in Maryland.

Latest Health Care REITs and CareTrust REIT, Inc., Diversified Healthcare Trust Stock News

As of July 31, 2026, CareTrust REIT, Inc. had a $9.9 billion market capitalization, compared to the Health Care REITs median of $4.5 million. CareTrust REIT, Inc.’s stock is up 16% in 2026, down 3% in the previous five trading days and up 33.19% in the past year.

Currently, CareTrust REIT, Inc.’s price-earnings ratio is 26.7. CareTrust REIT, Inc.’s trailing 12-month revenue is $522.6 million with a 64.1% net profit margin. Year-over-year quarterly sales growth most recently was 47.8%. Analysts expect adjusted earnings to reach $1.805 per share for the current fiscal year. CareTrust REIT, Inc. currently has a 3.7% dividend yield.

Currently, Diversified Healthcare Trust does not have a price-earnings ratio. Diversified Healthcare Trust’s trailing 12-month revenue is $1.5 billion with a -21.1% net profit margin. Year-over-year quarterly sales growth most recently was -5.3%. Analysts expect adjusted earnings to reach $-0.600 per share for the current fiscal year. Diversified Healthcare Trust currently has a 0.4% dividend yield.

How We Compare CareTrust REIT, Inc. and Diversified Healthcare Trust Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at CareTrust REIT, Inc. and Diversified Healthcare Trust’s stock grades to see how they measure up against one another.

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CareTrust REIT, Inc. and Diversified Healthcare Trust Stock Value Grades

Company	Ticker	Value
CareTrust REIT, Inc.	CTRE	F
Diversified Healthcare Trust	DHC	C

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

CareTrust REIT, Inc. has a Value Score of 12, which is Ultra Expensive. Diversified Healthcare Trust has a Value Score of 58, which is Average.

The Value Stock Winner: No Clear Winner

Neither CareTrust REIT, Inc. or Diversified Healthcare Trust has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if CareTrust REIT, Inc. or Diversified Healthcare Trust is the better investment when it comes to value.

CareTrust REIT, Inc. and Diversified Healthcare Trust Growth Grades

Company	Ticker	Growth
CareTrust REIT, Inc.	CTRE	B
Diversified Healthcare Trust	DHC	F

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

CareTrust REIT, Inc. has a Growth Score of 69, which is Strong. Diversified Healthcare Trust has a Growth Score of 10, which is Very Weak.

The Growth Grade Winner: CareTrust REIT, Inc.

As you can clearly see from the Growth Grade breakdown above, CareTrust REIT, Inc. has a more attractive growth grade than Diversified Healthcare Trust. For investors who focus solely on how a company is growing relative to other companies in the same industry, CareTrust REIT, Inc. could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

CareTrust REIT, Inc. and Diversified Healthcare Trust’s Estimate Revisions Grades

Company	Ticker	Earnings Estimate
CareTrust REIT, Inc.	CTRE	C
Diversified Healthcare Trust	DHC	C

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

CareTrust REIT, Inc. has a Earnings Estimate Score of 41, which is Neutral. Diversified Healthcare Trust has a Earnings Estimate Score of 48, which is Neutral.

The Earnings Estimate Revisions Stock Winner: No Clear Winner

Neither CareTrust REIT, Inc. or Diversified Healthcare Trust has an Earnings Estimate Revisions Grade that could be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if CareTrust REIT, Inc. or Diversified Healthcare Trust is the better investment when it comes to estimate revisions.

Other CareTrust REIT, Inc. and Diversified Healthcare Trust Grades

In addition to Estimate Revisions, Value and Growth, A+ Investor also provides grades for Momentum and Quality.

Momentum grades help uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming.

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether CareTrust REIT, Inc. and Diversified Healthcare Trust pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, CareTrust REIT, Inc. or Diversified Healthcare Trust Stock?

Overall, CareTrust REIT, Inc. stock has a Value Score of 12, Growth Score of 69 and Estimate Revisions Score of 41.

Diversified Healthcare Trust stock has a Value Score of 58, Growth Score of 10 and Estimate Revisions Score of 48.

Comparing CareTrust REIT, Inc. and Diversified Healthcare Trust’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.