U.S. Healthcare REIT Loses $750 Million in Market Cap in One Day

CARETRUST REIT INC (CTRE), a U.S. healthcare REIT, plunged 7.39% on the New York Stock Exchange on March 20, closing at $36.35. Trading volume surged to 18.86 million shares—well above its average—erasing roughly $560 million of market value (about KRW 750 billion) in a single day. Its market capitalization now stands at approximately $8.1 billion (around KRW 11 trillion).

In its February release of full-year 2025 results, the company reported net income of $320.5 million and diluted FFO per share of $1.76, reflecting 17% year-over-year growth. On February 17, it also launched an at-the-market (ATM) equity offering program of up to $1 billion, highlighting the potential for substantial future share issuance and weighing on investor sentiment.

CareTrust REIT owns and leases healthcare real estate—including skilled nursing facilities and senior living properties—in both the U.S. and the U.K. Its portfolio comprises over 180 net-leased healthcare assets across 24 U.S. states, plus several directly operated senior living communities. The REIT has pursued aggressive expansion through the recent acquisition of a U.K. care home REIT and additional portfolio purchases. As a result, it is viewed both as a beneficiary of aging-population trends and as a stock with ongoing dilution risk due to frequent equity issuances.