Goldman Sachs has raised its price target for healthcare real estate investment trust Ventas to $100.00 from its prior target and reiterated a Buy rating on the shares. The brokerage's update follows the company's fourth quarter 2025 results and 2026 guidance, and incorporates a change in how it models Ventas's normalized funds from operations.
In its note, Goldman Sachs said its updated Normalized FFO estimates reflect Ventas's redefinition of Core FFO to exclude stock-based compensation. That accounting adjustment plays into the firm's forecast revisions and valuation work, the note indicated.
Goldman singled out the company's acquisition activity at the outset of 2026 as a primary driver of its more optimistic view. Ventas closed $842 million in acquisitions in January alone, a figure Goldman said was more than twice its prior estimate and above market consensus. The firm described the start-of-year deal flow as evidence of meaningful external growth potential for the REIT.
Goldman also pointed to solid operational results in Ventas's Senior Housing Operating Portfolio, where same-store net operating income trends were robust. The combination of external expansion and SHOP same-store NOI strength led Goldman to project sizable positive estimate revisions in the years ahead. As a result, Goldman’s internal forecasts now run slightly ahead of consensus, exceeding market estimates by 1% for 2026, 3% for 2027, and 4% for 2028.
Ventas reported outsize fourth quarter 2025 results that beat analyst expectations. The company posted earnings per share of $0.15 compared with a forecast of $0.10, and revenue of $1.57 billion versus an anticipated $1.5 billion. Separately, the REIT disclosed 15% same-store net operating income growth in its SHOP segment for 2025, and it projected similar SHOP growth for 2026.
To bolster its capital flexibility, Ventas amended its at-the-market sales agreement to increase the amount of common stock available for issuance to $2.5 billion. That move was described in the company's filings accompanying its quarterly results.
Other sell-side shops responded positively to Ventas's results and operating momentum. Cantor Fitzgerald reiterated an Overweight rating and maintained a $93 price target, while Evercore ISI raised its target to $90 and kept an Outperform designation, citing the strength of the SHOP segment as a key factor.
Goldman Sachs's target increase and the accompanying forecast adjustments reflect the firm's view that early-2026 acquisition activity and persistent SHOP operating strength will support stronger cash flow expectations for Ventas over the medium term. The firm retained its Buy stance based on those dynamics and on its FFO modeling that excludes stock-based compensation from Core FFO.
What this affects
- Real estate investment trusts - valuations and analyst coverage.
- Healthcare real estate sector - growth outlook driven by senior housing operating results.
- Capital markets - equity issuance capacity via amended at-the-market program.
Context and caveats
The updates from Goldman Sachs and other analysts are tied closely to Ventas's reported fourth quarter performance, the revised Core FFO definition, and the company’s January 2026 acquisition activity. The longer-term outlook will depend on execution of external growth and maintenance of SHOP operating momentum, as reflected in the firms' estimates versus market consensus.