Medical Properties Trust's stock surged 8.01% during intraday trading on Thursday, driven by the release of the company's fourth-quarter and full-year financial results alongside several positive operational developments.
The real estate investment trust reported a significant turnaround, with net income of $0.03 per share for the fourth quarter of 2025 compared to a net loss of ($0.69) per share in the same period last year. The company also announced a new lease for six California hospitals that is expected to generate $45 million in annual rent by December 2026, and a restructuring transaction with Vibra Healthcare that resulted in a new 20-year master lease and an $18 million one-time rent payment.
Other factors contributing to investor optimism include the company's resolution of its exposure to Prospect Medical Holdings' bankruptcy process, acquisitions of post-acute facilities in the U.S. and Europe, and share repurchases of approximately 4.5 million shares. CEO Edward Aldag stated the company is focused on strengthening its balance sheet and positioning for future growth, with a target of driving pro forma annualized cash rent to at least $1 billion by the end of 2026.