American Healthcare REIT (AHR) Soars 3.01% to Record High on KeyBanc Upgrade

American Healthcare (AHR) surged to a record high today, with an intraday gain of 3.01%. The stock has been on a winning streak, rising 1.84% over the past two days, marking a total increase of 1.99% in the last two trading sessions.

Over the past five years, the strategy of buying AHR shares after they reached a high and holding for one week yielded strong results. The strategy achieved an impressive return of 171.66%, significantly outperforming the benchmark return of 19.63%. The excess return generated by the strategy was 152.04%, indicating that it delivered substantial gains relative to the benchmark. Moreover, the strategy's CAGR was 112.08%, which is a robust indicator of its compounding effectiveness. While the strategy had a maximum drawdown of -9.96%, it maintained a relatively high Sharpe ratio of 3.80, suggesting that the risk-adjusted returns were favorable. The volatility of the strategy was 29.49%, which implies that the strategy's returns were not overly reliant on any single factor and had a broad base of contributors.

KeyBanc has recently raised its target price for American Healthcare REIT (AHR) from $34 to $40, while maintaining an Overweight rating on the stock. This adjustment reflects a bullish outlook for AHR's future performance. The firm's decision to increase the target price is likely driven by the company's strong financial performance in the first quarter of 2025. During this period, American Healthcare REIT reported revenue of $540.6 million, representing a 26% year-over-year increase. This robust financial performance has further bolstered investor confidence in the stock, contributing to its recent upward trajectory.