Ventas Inc. (VTR), a prominent healthcare real estate investment trust, saw its stock plummet 6.84% in intraday trading on Thursday, despite reporting better-than-expected first-quarter 2025 results. The sharp decline comes as investors appear to be focusing on future challenges rather than the company's current performance.

Ventas reported normalized funds from operations (FFO) per share of 84 cents for Q1 2025, surpassing the Zacks Consensus Estimate of 82 cents and marking a 7.7% increase from the prior-year quarter. The company's revenues also exceeded expectations, reaching $1.36 billion, up 13.2% year-over-year. These positive results were driven by strong performance in the Senior Housing Operating Portfolio (SHOP), with same-store cash net operating income (NOI) for the total property portfolio increasing by 7.1%.

Despite these encouraging figures, investors seem to be concerned about the sustainability of this growth and potential headwinds in the healthcare real estate sector. The company maintained its 2025 normalized FFO per share guidance range of $3.35-$3.46, which may have disappointed some investors hoping for an upward revision. Additionally, while Ventas increased its investment volume guidance for the SHOP segment to $1.5 billion, up from $1 billion, this aggressive growth strategy may raise questions about the company's risk exposure in an uncertain economic environment.