Welltower Inc. (WELL) Plunges 2.55% as Aviva PLC Cuts Stake 39.3%

Welltower Inc. (WELL) shares fell 2.55% intraday, marking the fifth consecutive day of decline and reaching its lowest level since January 2025. The stock has dropped 11.46% over the past five days, reflecting a significant downturn in investor sentiment.

One of the key factors contributing to the recent decline in Welltower's stock price is the significant reduction in stake by Aviva PLC. In the fourth quarter, Aviva PLC decreased its position in Welltower by 39.3%, which could signal a lack of confidence or a strategic reallocation of resources away from the company. This move by a major institutional investor has likely influenced market sentiment and contributed to the stock's downward trend.

Despite the recent sell-off, some analysts maintain a positive outlook on Welltower. Scotiabank has kept its buy rating for the company, with a target price of $166, indicating potential long-term growth prospects. Similarly, Morgan Stanley has adjusted its target price from $135 to $145 while maintaining a buy rating, suggesting that the stock could appreciate in value over time.

Additionally, Wells Fargo recently upgraded Welltower from equal weight to overweight, following the recent sell-off. This upgrade reflects a positive reassessment of the company's potential and could attract increased investor interest, potentially leading to a recovery in the stock price. The upgrade by Wells Fargo, along with the positive ratings from other analysts, provides a counterbalance to the recent negative sentiment and offers a more optimistic view of Welltower's future performance.