Medical Properties Trust (MPW) Hikes Dividend 12% and Extends Buyback Push: What Investors Need to Know Today (17 November 2025)

Medical Properties Trust, Inc. (NYSE: MPW) is back in the headlines today after announcing a 12% increase to its regular quarterly dividend, alongside updates that underscore its ongoing recovery story and capital-return strategy.

On November 17, 2025, the healthcare REIT said its board has approved a quarterly cash dividend of $0.09 per share, up from $0.08 last quarter. The dividend will be paid on January 8, 2026 to shareholders of record as of December 11, 2025. ^[1]

The move comes just weeks after MPW reported third-quarter results, unveiled a $150 million common stock repurchase program, and continued to reshape its portfolio following several high-profile tenant issues. ^[2]

Meanwhile, MPW stock was trading around $5.18 this afternoon, up roughly 4.5% on the day, giving the REIT a market capitalization in the neighborhood of $3 billion. ^[3]

Key Takeaways for MPW Stock Today

Dividend raised 12%: Quarterly dividend lifted from $0.08 to $0.09 per share, payable January 8, 2026; record date December 11, 2025. ^[4]
Forward yield near 7%: At about $5.18 per share, the new annualized payout ($0.36) implies a forward dividend yield of roughly 7%, up from a trailing yield near the mid‑6% range. ^[5]
Capital return strategy: The dividend hike is explicitly framed alongside a $150 million strategic stock buyback program announced with Q3 results. ^[6]
Leadership change in IR: Long‑time investor relations lead Drew Babin has departed for another role; Charles Lambert now serves as the primary IR contact while a permanent successor is sought. ^[7]
Mixed but improving fundamentals: Q3 2025 delivered a net loss of $0.13 per share but normalized FFO (NFFO) of $0.13 per share, with revenue up year‑over‑year. ^[8]
Street opinion remains split:Bank of America today raised its price target on MPW to $4.50 from $4 while maintaining an Underperform rating, even as other firms remain more optimistic with higher targets. ^[9]

Medical Properties Trust Raises Dividend to $0.09 per Share

Today’s main headline is straightforward:

New quarterly dividend: $0.09 per share
Prior quarterly dividend: $0.08 per share
Increase: 12%
Record date: December 11, 2025
Payment date: January 8, 2026 ^[10]

According to the company’s press release, the board’s decision reflects greater confidence in MPW’s portfolio strength and cash‑flow potential heading into 2026, and it explicitly ties the move to the recently announced $150 million common stock repurchase program. ^[11]

This is a notable pivot considering that MPW spent the last two years cutting and then holding its dividend at $0.08 per quarter while working through tenant issues and balance sheet pressure. ^[12]

What the New Dividend Means for Yield

Before today’s announcement, many data providers still showed MPW with an annual dividend of $0.32 per share (four payments of $0.08) and a yield around 6.2–6.5%, based on a share price just under $5. ^[13]

With the dividend now reset to $0.09 per quarter:

New annualized payout (if maintained): $0.36 per share
Implied forward yield: about 6.9–7.0% at today’s ~$5.18 share price (0.36 ÷ 5.18 ≈ 6.9%)

That puts MPW’s yield well above the average health‑care REIT yield, which hovers around 3%, according to recent sector data. ^[14]

For income‑focused investors, MPW remains firmly in high‑yield territory, but the key question is whether that payout is sustainable.

Inside MPW’s Latest Earnings and Buyback

The dividend decision doesn’t exist in a vacuum. It comes shortly after MPW released third‑quarter 2025 results on October 30, including: ^[15]

Q3 2025 revenue: $237.5 million, up from $225.8 million a year ago
Net loss: $77.7 million, or –$0.13 per share, versus a loss of $1.34 per share in Q3 2024 (heavily impacted by impairments)
Normalized FFO: $77.2 million, or $0.13 per share, compared with $0.16 per share in the prior‑year quarter

The net loss continues to reflect impairment charges and elevated interest expense, but normalized FFO — a key metric for REITs — remains positive and comfortably above the new $0.09 dividend level. On a simple quarterly basis, NFFO covers the new dividend about 1.4 times ($0.13 ÷ $0.09). ^[16]

At the same time, MPW announced a $150 million strategic common stock repurchase program, signaling that management sees value in buying back shares, especially after a steep multi‑year decline in the stock price. ^[17]

Why Pair a Buyback with a Higher Dividend?

For a REIT that has been under pressure, combining:

A dividend raise, and
A sizeable buyback authorization

serves two purposes:

Signal confidence that cash flows are stabilizing enough to support higher payouts.
Improve per‑share metrics (FFO per share, NAV per share) if repurchases are executed below intrinsic value.

However, with significant debt on the balance sheet, every dollar allocated to dividends or buybacks is one not paying down leverage — a key trade‑off investors should keep in mind.

Portfolio, Balance Sheet and Tenant Update

Despite recent turbulence, Medical Properties Trust still controls a large, globally diversified hospital real estate portfolio:

Total assets: approximately $14.9 billion as of September 30, 2025
Property count: 388 facilities
Licensed beds: ~39,000
Asset mix: about $9.0 billion in general acute hospitals, $2.5 billion in behavioral health, and $1.6 billion in post‑acute facilities. ^[18]

On the liability side, MPW carried around $9.6 billion of debt at quarter‑end — roughly two‑thirds of total assets, underscoring the importance of managing interest costs and refinancing risk. ^[19]

€702.5 Million Refinancing JV Shows Capital Markets Access

In June, MPW and its 50/50 joint venture with Praemia REIM completed a €702.5 million refinancing of a European hospital portfolio at a fixed rate of about 5.1%, which the company highlighted as evidence of continued lender appetite for hospital real estate and its own flexibility in raising capital. ^[20]

Prospect & Yale: Progress on a Key Tenant Situation

On September 29, 2025, MPW issued a portfolio update focused on properties leased to Prospect Medical Holdings. Key elements included: ^[21]

Yale New Haven Health System agreed to pay $45 million to Prospect, with Prospect and MPW releasing Yale from any obligation to purchase three Connecticut facilities.
MPW sold two facilities in Arizona to the current operator for about $50 million.

The company expects these transactions, plus additional asset sales and repayments, to reduce its DIP loan exposure related to Prospect and provide liquidity for debt management and reinvestment. ^[22]

Earlier in the year, MPW also had to navigate the bankruptcy of former tenant Steward Health Care, which was ultimately cleared to liquidate following a hospital sell‑off — a reminder that operator financial health remains a central risk for the REIT. ^[23]

Analyst and Market Reaction to the Dividend Hike

Today’s dividend and capital return story arrives against a backdrop of sharply divided analyst opinion on MPW stock.

Bank of America: Target Raised, Rating Still Cautious

This morning, BofA analyst Farrell Granath raised the firm’s price target on MPW to $4.50 from $4, but kept an Underperform rating. In a broader note on U.S. REITs, BofA characterized Q3 earnings season as “strong” for the sector overall, even as it remains cautious on specific names like MPW. ^[24]

Other Broker Targets: From Deep Value to Skepticism

TipRanks data highlights how split the Street is on MPW: ^[25]

One major European firm, Exane BNP Paribas, has a Buy/Outperform rating and a price target of $9, implying substantial upside from current levels.
Another large bank, Wells Fargo, maintains a Sell rating with a $4.50 target, signaling an expectation of downside from recent prices.

That spread — from $4.50 on the low end to $9 on the high end — reflects wildly different views on how lasting MPW’s recovery will be.

Recent Commentary: “Recovery” but Still Risk

Recent articles and notes on investment platforms reinforce that split:

A November 2025 analysis argued that “accelerating recovery” in rent collections and cash flows justified a rating upgrade for MPW, with expectations that annualized cash rent could exceed $1 billion as restructurings complete. ^[26]
Another recent piece comparing Community Healthcare Trust and MPW noted that MPW shares have surged in 2025 as the market gained confidence in the company’s handling of distressed tenants. ^[27]
On the cautionary side, a detailed April 2025 review emphasized that MPW still carries substantial debt and may be paying blended interest rates near 8% on recent refinancings, keeping risk elevated despite progress. ^[28]

Meanwhile, technical indicators from one major trading platform show 14‑day RSI around 66 and both 5‑ and 50‑day moving averages near current prices, suggesting momentum has been improving after a long slump. ^[29]

Is MPW’s Higher Dividend Sustainable?

The new $0.09 quarterly dividend may be welcome news for income investors, but its sustainability will depend on several moving pieces:

Underlying cash flow vs. payout
- Q3 normalized FFO of $0.13 per share leaves room above the dividend, but the margin is not enormous, especially if tenant issues flare up again or interest costs rise further. ^[30]
Balance sheet and refinancing
- With $9.6 billion of debt on $14.9 billion in assets, deleveraging remains a priority. Shareholder returns through dividends and buybacks need to be balanced against the need to reduce leverage over time. ^[31]
Execution on asset sales and JV refinancings
- The Prospect/Yale settlement, asset sales in Arizona, and the €702.5 million JV refinancing show that MPW can still access capital and recycle assets, but the company must continue to execute these moves to free up cash and derisk the portfolio. ^[32]
Macro backdrop for REITs and rates
- The pace of interest‑rate cuts — or lack thereof — will influence borrowing costs, property valuations, and investor appetite for highly leveraged REITs like MPW. BofA’s cautious stance, despite a raised price target, underlines that macro risk is very much part of the MPW story. ^[33]

Key Dates MPW Investors Should Watch

December 11, 2025 – Record date for the $0.09 dividend
January 8, 2026 – Dividend payment date ^[34]
February 19, 2026 (before market open) – Next scheduled earnings release for MPW, according to one earnings calendar, which will let investors gauge whether Q3’s FFO level is sustainable and whether the new dividend remains comfortably covered. ^[35]

Bottom Line

For November 17, 2025, the key story around Medical Properties Trust (MPW) is clear:

The REIT is raising its dividend for the first time since its cut,
Highlighting a $150 million buyback and improved cash‑flow visibility,
While still facing meaningful leverage and tenant‑related risks that keep some analysts on the sidelines.

Income‑oriented investors may view the nearly 7% forward yield as attractive, particularly alongside signs of operational stabilization. More conservative investors, however, are likely to wait for additional quarters of clean results, further deleveraging, and more clarity on tenant health before deciding whether MPW’s turnaround is durable.

As always, this article is for informational purposes only and does not constitute investment advice. Investors should consider their own risk tolerance, perform independent research, and consult a qualified financial advisor before making any decision regarding MPW stock.

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