WELL US S&P 500Russell 1000 Earnings call · transcribed from the recording
Welltower (WELL) · Q3 2026 results and valuation
Share price: $247.35 · 2026-11-11
Welltower is a real estate investment trust that owns and operates senior and wellness housing communities. The company provides housing and care services for older adults and seniors in the United States, United Kingdom, and Canada. Source: 10-K annual report (2026-02-12)
Results Q3 2026 vs Q2 2026 · previous quarter · published 26 Oct 2026 and 28 Jul 2026
Net income down 10.4% on the previous quarter. Management sounded upbeat, in its script and in answers to analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
−10.4%
Net income vs Q2 2026
Net income 414.8M vs 463.0M
Revenue +4.8%
Against the same quarter last year (Q3 2025) it is +47.0%; the dip on last quarter is small next to the change on last year.
2 · How management spoke
Upbeat
More upbeat than 76% of company calls
Answers to analysts: typical, in line with the script.
Last call it was different: the answers were less upbeat than the script.
3 · What stood out
Figure
The strong in-market demand for Welltower's luxury senior living product, coupled with attractive capital deployment opportunities.
Valuation
Is Welltower undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At 20.0% growth a year (3-year revenue growth), the model's fair value is $109.09 a share — the stock trades 127% above it. Today's price assumes 30.3% growth a year.
Current price
$247.35
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+30.3% for 10 yrs
Fair value / share
$109.09
Buy below
$81.81
Price vs fair value
Overvalued 127%
Price vs buy-below price
Overvalued >200%
Read between the lines
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Key theme
Cash flow growth
Source quote
“We believe that favorable demand supply backdrop when combined more importantly with ...or year, but the duration of that growth. To be clear our recent results and outlook are not simply a byproduct of demographic trends or the expansion of our footprint.”
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Fading
As Welltower discussed last quarter, the portfolio is growing at a meaningfully faster pace driven primarily by the continued mix…
Source quote
“As we discussed last quarter, the portfolio is growing at a meaningfully faster pace driven primarily by the continued mix... Total portfolio same-store NOI increased 15.5% year-over-year marking the second highest level in our company's recorded history. Importantly, seniors housing remains largely insulated from the various cyclical and secular pressures affecting many sectors across corporate America.”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q3 2026. Ring: Q2 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“And our shop performance remains strong, delivering 9.1% organic revenue growth, driven by another period of both healthy occupancy gains and robust pricing power.”
“The strong in-market demand for our luxury senior living product, coupled with attractive capital deployment opportunities, drove revenue growth of 38% and adjusted EBITDA growth of 35%.”
“Turning back to the quarter, our total portfolio same-store net operating income increased nearly 16%, second highest level of growth achieved in our recorded history.”
Full figures
USD · SEC EDGAR XBRL (10-Q, period end 2026-09-30)
| Metric | Q3 2026period end 2026-09-30 | Q2 2026period end 2026-06-30 | Change | Q3 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 3.72B | 3.54B | +4.8% | 2.69B | +38.4% |
| Gross profit | 1.47B | 1.39B | +5.4% | 1.11B | +32.6% |
| Net income | 414.8M | 463.0M | −10.4% | 282.2M | +47.0% |
| EPS | 0.54 | 0.61 | −11.5% | 0.41 | +31.7% |
| P/E today 99.0 | 104.6 | 98.4 | +6.2 | 86.9 | +17.7 |
Topics
Most discussed now
- Welltower's shop performance remains strong, delivering 9.1% organic revenue growth, driven by another period of both healthy occupancy…
- Against a backdrop of growing macroeconomic uncertainty, the demand for luxury senior living remained resilient during the summer months…
- New While passive capital has once again taken an approach that allocating money to this newfound industry is a sure bet...
- In that light, during the quarter, Welltower reported a healthy occupancy gain of 320 basis points, but it is particularly pleased...
- Welltower's niche seniors housing portfolio remained largely insulated from growing economic uncertainty and heightened geopolitical…
Faded since Q2 2026
- Dropped One of the most important ways in which Welltower is expanding its moat is by attracting exceptional talent from a...
- Dropped This is particularly important given the recent rise in interest rates and growing uncertainty with respect...
- Dropped However, together as partners, Welltower is maniacally focused on capturing unrecognized simplicities that are hiding in plain sight.
- Fading As Shankh mentioned, Welltower believes that significant margin upside remains given the inherent operating leverage in its business…
Latest announcements
Official filings, newest first. Summaries are generated from each filing and its attachment; every figure is checked against the source.
- Other events · SEC 8-K
Welltower Inc. filed prospectus supplements for the potential issuance of up to 166,666 Fellowship Grant shares, 334,938 Silver Quebec LP shares, and 1,146,886 Welltower OP shares.
- Results of operations; Regulation FD disclosure · SEC 8-K
Welltower reported normalized funds from operations of $1.67 per diluted share for the third quarter of 2026, representing a 24.6% increase over the prior year.
- Other events · SEC 8-K
Welltower Inc. entered into an equity distribution agreement on July 28, 2026, to offer and sell common stock with an aggregate sales price of up to $7,500,000,000.
- Results of operations · SEC 8-K
Welltower Inc. issued a press release on July 27, 2026, reporting operating results for the second quarter ended June 30, 2026.
- Other events · SEC 8-K
Welltower Inc. filed an 8-K on July 13, 2026, regarding the guarantee of 4.800% Notes due 2028 and 4.500% Notes due 2034 issued by Welltower OP LLC.
- Regulation FD disclosure · SEC 8-K
Welltower announced a 15% increase in its quarterly common stock dividend to $0.85 per share starting in the second quarter of 2026.
- Shareholder vote results · SEC 8-K · routine
- Other events · SEC 8-K
Welltower Inc. filed a prospectus supplement on April 29, 2026, to register the offer and resale of 4.800% Notes due 2028 and 4.500% Notes due 2034.
Balance sheet & ownership
From SEC filings; short interest is FINRA data via Yahoo. Collected 2026-10-28.
Cash & runway
Cash & equivalents
$2.27B
2026-09-30
Implied runway
—
operating cash flow positive over the TTM window
Dilution
weighted-average basic shares, per quarter. Change: +7.7% YoY, +2.1% QoQ.
| Quarter | Shares |
|---|---|
| Q1 2025 | 643.4M |
| Q2 2025 | 656.6M |
| Q3 2025 | 672.4M |
| Q1 2026 | 699.8M |
| Q2 2026 | 709.7M |
| Q3 2026 | 724.3M |
Shares outstanding: 733.6M (2026-10-23)
Insider transactions
Form 4 open-market trades (codes S/P), trailing 12 months. 38 filings parsed.
Sold by insiders
0 shares
0 transactions
Bought by insiders
10.0K shares
$2.4M · 4 transactions
Net direction
net buying
Catalyst calendar
management-stated targets — from the latest earnings call; plans, not promises.
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back half of the year
increased confidence in the back half of the year
Source quote
“As Tim would describe shortly, our strong start to 2026 and increased confidence in the back half of the year enabled us to increase the midpoint of our full-year FFO guidance by $0.12 to $6.40 per-share.”
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fall and into the year end
investment teams remain busy
Source quote
“Our investment teams remain busy as ever and I suspect that will be the same will be the case in the fall in fall and into the year end.”
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later in the year
closing of the majority of the approximately $6 billion of incremental investment activity
Source quote
“The majority of which we expect to close later in the year.”
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full-year 2026
outlook for net income attributable to common stockholders and normalized FFO
Source quote
“Last night, we updated our full-year 2026 outlook for net income attributable to common stockholders to $3.11 to $3.19 per diluted share and normalized FFO to $6.36 to $6.44 per diluted share.”