Should You Buy Omega Healthcare Investors Inc (OHI) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Hold
Latest Price
43.410
1 Day change
0.58%
52 Week Range
46.360
Analysis Updated At
2026/01/26
Omega Healthcare Investors Inc (OHI) is not a strong buy at the moment for a beginner investor with a long-term strategy. While the company has shown strong financial performance in the latest quarter and hedge funds are increasing their positions, technical indicators suggest a lack of upward momentum, and analysts have mixed views with limited upside potential in the near term. The absence of significant positive trading signals and recent downgrades by BMO Capital further support a hold recommendation.
Technical Analysis
The MACD is negatively expanding (-0.0986), RSI is neutral at 38.534, and moving averages are converging, indicating no clear trend. The stock is trading near support levels (S1: 43.275), but resistance at 44.165 and above may limit upward movement.
Options Data
Neutral
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
Technical Summary
Sell
7
Buy
4
Positive Catalysts
Strong Q3 2025 financial performance with revenue up 12.88% YoY, net income up 59.15% YoY, and EPS up 40.48% YoY. Hedge fund buying has increased significantly by 251.64% over the last quarter. Goldman Sachs and UBS maintain a Buy rating with price targets of $54 and $51, respectively, citing improving cash flow visibility and macro conditions.
Neutral/Negative Catalysts
BMO Capital downgraded the stock to Market Perform, citing limited upside to 2026 guidance. The stock is trading near its highest price-to-FFO multiple in over a decade, suggesting limited valuation upside. Technical indicators do not show a strong bullish trend, and the stock has a 70% chance of declining -4.28% in the next week and -5.38% in the next month.
Financial Performance
In Q3 2025, Omega Healthcare reported revenue of $311.59M (+12.88% YoY), net income of $177.87M (+59.15% YoY), EPS of 0.59 (+40.48% YoY), and gross margin of 98.88% (+0.17% YoY). These results indicate strong growth trends.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Analyst sentiment is mixed. While Goldman Sachs and UBS have Buy ratings with price targets of $54 and $51, BMO Capital downgraded the stock to Market Perform, citing limited upside. Other analysts have raised price targets but maintain Hold or Neutral ratings, reflecting cautious optimism.
Wall Street analysts forecast OHI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for OHI is 46.44 USD with a low forecast of 42 USD and a high forecast of 50 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
Wall Street analysts forecast OHI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for OHI is 46.44 USD with a low forecast of 42 USD and a high forecast of 50 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Buy
5 Hold
0 Sell
Moderate Buy
Current: 43.160
Low
42
Averages
46.44
High
50
Current: 43.160
Low
42
Averages
46.44
High
50
Wells Fargo
John Kilichowski
Overweight -> Equal Weight
downgrade
$45
AI Analysis
2026-01-29
New
Reason
Wells Fargo
John Kilichowski
Price Target
$45
AI Analysis
2026-01-29
New
downgrade
Overweight -> Equal Weight
Reason
Wells Fargo analyst John Kilichowski downgraded Omega Healthcare to Equal Weight from Overweight with a $45 price target.
Wells Fargo
Overweight -> Equal Weight
downgrade
$48 -> $45
2026-01-29
New
Reason
Wells Fargo
Price Target
$48 -> $45
2026-01-29
New
downgrade
Overweight -> Equal Weight
Reason
Wells Fargo downgraded Omega Healthcare to Equal Weight from Overweight with a price target of $45, down from $48. The firm views the stock's valuation as full at current levels. Genesis is 4.6% of Omega's annualized rent and filed for Chapter 11 in July of 2025 to address malpractice claims, the analyst tells investors in a research note. Wells says Genesis' new buyer, 101 West, is not expected to take on Omega's $125M term loan at 13.2%. It believes the company's dispositions could be elevated this year. Wells sees risk to Street net investment expectations as Omega's yields compress.
Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for OHI
