Latest Ratios: P/E Ratio 165.4x · EV/EBITDA 73.0x · ROE 2.5%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $165.7B | $126.1B | $76.7B | $46.8B | $30.5B | $36.6B | $27.0B | $33.0B | $26.0B | $23.5B | $24.1B |
| Enterprise Value | $182.0B | $142.5B | $90.0B | $60.9B | $44.8B | $51.0B | $39.6B | $48.1B | $39.1B | $35.0B | $36.0B |
| P/E Ratio → | 165.42 | 133.53 | 80.27 | 136.62 | 218.50 | 109.96 | 27.73 | 26.81 | 34.36 | 50.61 | 23.82 |
| P/S Ratio | 15.53 | 11.82 | 9.77 | 7.22 | 5.28 | 7.77 | 5.88 | 6.47 | 5.58 | 5.47 | 5.67 |
| P/B Ratio | 3.62 | 2.92 | 2.36 | 1.77 | 1.43 | 1.93 | 1.57 | 1.94 | 1.63 | 1.54 | 1.54 |
| P/FCF | 58.18 | 44.29 | 34.90 | 30.15 | 23.49 | 29.15 | 20.02 | 21.72 | 16.53 | 16.56 | 14.96 |
| P/OCF | 57.50 | 43.77 | 34.00 | 29.20 | 22.95 | 28.71 | 19.76 | 21.50 | 16.44 | 16.41 | 14.80 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 13.36 | 11.46 | 9.40 | 7.76 | 10.83 | 8.64 | 9.44 | 8.38 | 8.15 | 8.48 |
| EV / EBITDA | 73.00 | 57.13 | 31.84 | 25.55 | 21.52 | 28.09 | 22.31 | 21.10 | 18.36 | 17.11 | 16.25 |
| EV / EBIT | 512.53 | 828.67 | 81.89 | 63.57 | 63.80 | 77.23 | 82.11 | 43.81 | 41.18 | 44.65 | 29.29 |
| EV / FCF | — | 50.03 | 40.93 | 39.26 | 34.53 | 40.62 | 29.42 | 31.65 | 24.83 | 24.65 | 22.37 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 39.2% | 39.2% | 38.5% | 39.1% | 38.4% | 41.1% | 43.4% | 47.3% | 47.9% | 51.5% | 55.9% |
| Operating Margin | 3.3% | 3.3% | 14.6% | 14.5% | 12.9% | 16.2% | 15.9% | 24.3% | 24.9% | 25.8% | 30.8% |
| Net Profit Margin | 8.8% | 8.8% | 12.1% | 5.2% | 2.4% | 7.1% | 21.3% | 24.2% | 17.2% | 12.2% | 25.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 2.5% | 2.5% | 3.2% | 1.4% | 0.7% | 1.9% | 5.7% | 7.5% | 5.1% | 3.4% | 6.9% |
| ROA | 1.6% | 1.6% | 2.0% | 0.8% | 0.4% | 1.0% | 3.0% | 3.9% | 2.8% | 1.8% | 3.7% |
| ROIC | 0.5% | 0.5% | 2.0% | 1.9% | 1.6% | 1.8% | 1.8% | 3.0% | 3.1% | 3.1% | 3.5% |
| ROCE | 0.6% | 0.6% | 2.5% | 2.4% | 2.1% | 2.3% | 2.3% | 4.2% | 4.3% | 4.1% | 4.8% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.49 | 0.49 | 0.51 | 0.61 | 0.70 | 0.77 | 0.83 | 0.91 | 0.83 | 0.77 | 0.79 |
| Debt / EBITDA | 8.57 | 8.57 | 5.93 | 6.76 | 7.18 | 8.08 | 8.00 | 6.75 | 6.24 | 5.73 | 5.57 |
| Net Debt / Equity | — | 0.38 | 0.41 | 0.54 | 0.67 | 0.76 | 0.74 | 0.89 | 0.82 | 0.75 | 0.76 |
| Net Debt / EBITDA | 6.56 | 6.56 | 4.69 | 5.93 | 6.88 | 7.93 | 7.13 | 6.62 | 6.14 | 5.61 | 5.38 |
| Debt / FCF | — | 5.74 | 6.03 | 9.11 | 11.04 | 11.47 | 9.41 | 9.93 | 8.30 | 8.09 | 7.41 |
| Interest Coverage | 0.26 | 0.26 | 1.91 | 1.58 | 1.33 | 1.35 | 0.94 | 1.98 | 1.80 | 1.62 | 2.36 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 5.34 | 5.34 | 5.28 | 4.51 | 2.63 | 1.93 | 5.52 | 0.89 | 0.78 | 1.03 | 1.63 |
| Quick Ratio | 5.34 | 5.34 | 5.28 | 4.51 | 2.63 | 1.93 | 5.52 | 0.89 | 0.78 | 1.03 | 1.63 |
| Cash Ratio | 2.71 | 2.71 | 2.56 | 1.81 | 0.54 | 0.20 | 2.48 | 0.14 | 0.10 | 0.15 | 0.28 |
| Asset Turnover | — | 0.16 | 0.15 | 0.15 | 0.15 | 0.13 | 0.14 | 0.15 | 0.15 | 0.15 | 0.15 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.2% | 1.5% | 2.0% | 2.7% | 3.7% | 2.8% | 4.1% | 4.2% | 5.2% | 5.6% | 5.4% |
| Payout Ratio | 200.5% | 200.5% | 162.4% | 370.7% | 801.3% | 308.2% | 114.3% | 113.7% | 167.6% | 253.6% | 120.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 0.6% | 0.7% | 1.2% | 0.7% | 0.5% | 0.9% | 3.6% | 3.7% | 2.9% | 2.0% | 4.2% |
| FCF Yield | 1.7% | 2.3% | 2.9% | 3.3% | 4.3% | 3.4% | 5.0% | 4.6% | 6.1% | 6.0% | 6.7% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 1.2% | 0.0% |
| Total Shareholder Yield | 1.2% | 1.5% | 2.0% | 2.7% | 3.7% | 2.8% | 4.2% | 4.2% | 5.2% | 6.9% | 5.4% |
| Shares Outstanding | — | $680M | $609M | $519M | $465M | $427M | $417M | $404M | $375M | $369M | $360M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying WELL stock.
Welltower Inc.'s current P/E ratio is 165.4x. The historical average is 43.8x. This places it at the 100th percentile of its historical range.
Welltower Inc.'s current EV/EBITDA is 73.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 18.1x.
Welltower Inc.'s return on equity (ROE) is 2.5%. The historical average is 6.0%.
Based on historical data, Welltower Inc. is trading at a P/E of 165.4x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Welltower Inc.'s current dividend yield is 1.20% with a payout ratio of 200.5%.
Welltower Inc. has 39.2% gross margin and 3.3% operating margin.
Welltower Inc.'s Debt/EBITDA ratio is 8.6x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Margin compression from labor costs
Metrics are mathematically derived from official filings.
Premium P/FFO Reflects Growth Expectations
Welltower's P/FFO of 64.8x in 2026Q2, as per quarterly data, sits well above healthcare REIT peers, implying the market prices in sustained SHOP margin recovery and above-average growth.
The trailing P/FFO has expanded from roughly 49x in early 2024 to nearly 65x, a re-rating that appears to anticipate continued double-digit FFO growth. However, with FFO growth decelerating from 79.6% in 2026Q1 to 20.7% in 2026Q2, the valuation leaves little room for operational misses. The implied cap rate, derived from NOI and enterprise value, is likely compressed relative to private market transactions, suggesting investors are paying up for the company's urban, high-barrier portfolio.
NOI Margin Stability Masks Operating Leverage
NOI margin held at 39.3% in 2026Q2, as reported in financial statements, despite 40.9% revenue growth, indicating property-level cost control but limited margin expansion from scale.
While NOI margin has improved from 36.5% in 2024Q4, the recent plateau suggests that labor cost inflation is offsetting occupancy gains. The thin operating margin of 3.33% underscores heavy depreciation and integration costs from acquisitions, which may continue to pressure GAAP earnings. Investors should monitor whether revenue growth translates into NOI margin expansion as new properties stabilize, or if the SHOP model's variable costs cap profitability.
Payout Ratio Volatile but Covered
FFO payout ratio swung from 38.2% in 2026Q1 to 53.6% in 2026Q2, per quarterly data, but remains well below 100%, indicating a comfortable dividend cushion.
The payout ratio's volatility stems from quarterly FFO fluctuations, yet the average over the last four quarters is roughly 56%, leaving ample retained cash flow for reinvestment. AFFO payout, based on AFFO per share of $0.90, is approximately 80%, which is higher but still sustainable. The dividend yield of 1.2% is low, reflecting the stock's appreciation, but the coverage suggests no immediate risk to the distribution.
Leverage Low but Interest Coverage Weak
Debt-to-equity of 0.42 in 2026Q2, as per balance sheet data, is conservative for a REIT, yet interest coverage of 3.24x indicates limited earnings cushion for debt service.
The reported D/E is unusually low, possibly due to a large equity raise, but even so, interest coverage has improved from 1.71x in 2024Q4 to 3.24x, suggesting earnings are growing faster than interest costs. However, the negative interest coverage in 2025Q4 (-5.23x) highlights the volatility in FFO, which could strain coverage if rates rise or earnings dip. The company's substantial cash position and access to equity markets mitigate refinancing risk, but the reliance on external capital for growth remains a watch item.
SHOP Concentration Drives Growth and Risk
With SHOP segment driving revenue growth, as per company intelligence, Welltower's portfolio quality hinges on occupancy and rate increases in high-barrier urban markets.
The shift to SHOP increases operational risk, as labor costs and occupancy directly impact NOI. While the 80/20 data platform may enhance site selection, the concentration in urban markets like London and New York exposes the portfolio to local supply and regulatory changes. G&A efficiency appears reasonable, but the complexity of managing operator transitions could create temporary disruptions. Investors should monitor same-store NOI growth and occupancy trends to gauge whether the premium valuation is justified.
P/E Misleads Due to Depreciation
Welltower's P/E of 167.7x, as per valuation metrics, is distorted by non-cash depreciation, making P/FFO the appropriate valuation metric for this REIT.
GAAP net income is heavily reduced by depreciation, which does not reflect the actual cash-generating capacity of the properties. Using P/E would suggest an overvalued stock, but P/FFO of 64.8x provides a clearer picture of earnings power. However, even P/FFO may overstate quality if maintenance capex is understated; AFFO, which accounts for such capex, shows a higher payout ratio and a more conservative view of distributable cash flow.