According to the UBS, the aging population will be a tailwind for the stock market – and two dividend shares are expected to benefit. Longevity is one of three “transformational innovation opportunities” that will run equity markets in the next decade, a team of strategists said in a note on Wednesday. The other two are artificial intelligence and strength and resources. UBS strategists wrote, “Sometimes a combination of a growing lifetime and a demographic change towards an old population makes a series of investment opportunities.” A region that is already established in space, residing in retirement, which is growing at 4% compound annual growth by 2030, he said. The oldest baby boomers are fast coming closer to their 80th birthday and are going to increase the demand for senior housing options such as independent living, aided stay and nursing homes. The National Investment Center for Seniors Housing and Care has predicted that 2025 will require 200,000 additional senior housing units, additional 500,000 units by 2028 and 775,000 units by 2030. Ventus, whose portfolio, has a 2.8% dividend yield in the portfolio, which includes senior housing community, skilled nursing facilities and medical office buildings. Analyst Jonathan Voolabhin likes diversity in his real estate holdings and geographical places. Ventus has 1,400 properties in the United States, Canada and United Kingdom. The ongoing recovery in VTR YTD Mountain Ventus Senior Housing, which took a hit during the Kovid epidemic, has increased the senior housing of the ventus, there has been an increase in the excess levels. He said that since the first quarter of 2013, the new senior housing supply is now at its lowest level. “Increase in occupancy is leading to strong pricing power and margin improvement,” Volocheen said. Furthermore, inconsistent management execution seen in recent quarters has ended and the shares of Ventus are closing the valuation gap with the company’s biggest colleague, he said. The stocks are about 16% years till date. The Weltoper also has a diverse portfolio. The company has more than 1,500 senior houses, post-acute communities and outpatient medical properties in the US, UK and Canada. It pays a dividend yield of about 1.8%. UBS analyst Thomas Paramentier wrote, “It is well a strong senior housing portfolio that is located in many high-bar-to-entry markets, something that benefits the company in a post-COVD-19 world.” “In addition, Senior Housing Occupancy Gain has increased Well’s stock price.” Well -well YTD Mountain Veltower Stock, which is 21% so far this year, is trading on a “important premium assessment” for his peers, he said. However, he feels that a premium is appropriate in view of the strong operating performance and development of the Veltawar. “Well is in solid financial size, in our view, with an investment-grade balance sheet, a good management team, solid access to manageable debt maturity and liquidity,” said Parmentier. “We believe that dividend is safe and may increase that operating results can improve.” Include us in New York Stock Exchange to make your ticket pro live! Uncertain market? Get a special, opening event in the historic New York Stock Exchange with CNBC Pro Live. In today’s dynamic financial scenario, experts have access to insight. As the CNBC Pro Subscriber, we invite you to attend our first exclusive, in-person CNBC Pro Live event in the prestigious NYSE on Thursday, 12 June. A special version of Pro talks with Tom Lee should be included in the Interactive Pro Clinic led by our professionals Carter Worth, Dan Niles and Dan Iaves. You will get an opportunity to network with CNBC experts, talent and other supporters customers during an exciting cocktail hour on the legendary trading floor. Tickets are limited!
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