Should I buy Vital Healthcare Property Trust stock in 2025?

What is Vital Healthcare Property Trust?

How much is the Vital Healthcare Property Trust stock?

The price of Vital Healthcare Property Trust stock is rising this week. As of now, VHP is trading at NZ$1.93, up 3.21% in the past 24 hours and showing a strong 10.29% gain over the week.

The stock’s combination of steady income and defensive positioning appeals to NZ investors seeking lower-risk exposure to the healthcare property sector.

Our complete analysis of the Vital Healthcare Property Trust stock

Having thoroughly reviewed Vital Healthcare Property Trust’s latest financial results and evaluated its share price action over the past three years, our analysis integrates a broad spectrum of data—from detailed financial metrics to advanced technical signals, sectoral trends, and competitive positioning—using our proprietary models. As the only NZX-listed REIT focused exclusively on healthcare property, Vital Healthcare Property Trust (VHP.NZ) stands at the confluence of robust underlying demand, solid operational execution, and renewed investor attention. So, why might Vital Healthcare Property Trust once again become a strategic entry point into the ANZ healthcare real estate sector in 2025?

Recent Performance and Market Context

The past several months have seen a marked shift in sentiment for Vital Healthcare Property Trust. As at 30 May 2025, shares are trading at NZ$1.93, representing a robust intraday increase of +3.21%, and a compelling 10.29% weekly gain—signalling not just technical interest, but underlying investor confidence. Despite a relative six-month decline of -4.52%, the stock has recovered year-on-year, up 0.52%, outperforming some peers within the New Zealand property sector, particularly given the macro headwinds facing REITs globally.

• Q3 FY25 results showed improved underlying rental income and a continued focus on strategic asset management.
• Distributions remain strong, with a Q3 payout of 2.4375 NZ cents per unit, reinforcing predictable income at a time many sectors face dividend uncertainty.
• The conclusion of non-strategic asset sales (NZ$87m since April 2024) has optimized the portfolio towards core healthcare assets—improving both resilience and growth optionality.

Crucially, the broader macroeconomic context has become more favourable. The enduring demographic tailwinds in ANZ—a rapidly ageing population and deepening public/private healthcare investment—underpin long-term demand for specialist medical properties. With a low beta of 0.45, VHP offers relative stability amid market rotation and persistent rate volatility.

Technical Analysis

Vital Healthcare Property Trust’s price action signals a decisive technical recovery. The stock is currently trading above all major moving averages—20-day (NZ$1.878), 50-day (NZ$1.871), 100-day (NZ$1.870), and 200-day (NZ$1.848)—confirming a multi-timeframe bullish posture.

• RSI (14 days) at 75.43 places the stock in overbought territory, yet this is often consistent with the early to mid-phase of sustained upward moves for high-dividend blue-chip REITs, especially following a basing period.
• MACD (12,26,9) at +0.012 issues a firm buy signal, consistent with recent upward price action.
• Support levels: The NZ$1.61 52-week low forms a strong foundation, while S1 (NZ$1.891) provides a lower technical base for traders.
• Resistance levels: The share is approaching R1 (NZ$1.926) and sights set on the 52-week high of NZ$2.07, establishing a clear breakout target zone.

All aggregated technical models offer a “strong buy” signal, indicating that both short-term momentum and medium-term structure are aligned favourably. Historically, such confluence in high-yield, low-beta names forecasts not just price appreciation, but also reduced drawdown risk in volatile environments.

Fundamental Analysis

• Revenue Growth: In the nine months to 31 March 2025, VHP posted revenues of NZ$133.55 million—up 6.1% year-on-year, evidencing resilient demand for its medical properties and the pricing power of long-dated lease profiles.
• Profitability and Strategic Adjustment: While reporting a net loss (NZ$64.26m), this is a distinct improvement on the prior year, directly attributable to market-driven property revaluations rather than operational weakness. Underlying rental cashflows remain stable or improving.
• Attractive Valuation: The Trust trades at a Price-to-Book of just 0.72—a deep discount to net asset value—while the 12-month forward PE ratio is 17.53, well within the sector’s defensive premium. The EV/EBITDA stands at 22.12, in line with regional peers but justified by persistent high recurring income and robust portfolio quality.
• Dividend Profile: With a forward yield of 5.76%, VHP offers above-market income, a key draw in an uncertain rate cycle.
• Strategic Strengths: Over 45 properties, 125 primarily blue-chip healthcare tenants, and more than 2,800 beds across New Zealand and Australia, cement the Trust’s role as the dominant player in a defensive, rapidly expanding asset class.

Such a footprint not only delivers scale efficiencies but also enables the Trust to negotiate favourable lease structures, underpinning visible earnings for years to come.

Volume and Liquidity

Liquidity remains robust, with a 65-day average daily trading volume of 483,610 shares. This persistent and rising turnover—especially during recent price rallies—suggests strong market engagement and confidence in the underlying story. The broad institutional shareholder base (including Vanguard and major local funds) and moderate free float ensure that the valuation efficiently reflects new information while limiting the risk of price manipulation or illiquidity-induced volatility.

Furthermore, the stability of the Trust’s capital structure, with over 4,500 shareholders and a well-managed external investment team, offers reassurance to new entrants as the register broadens in a strengthening market phase.

Catalysts and Positive Outlook

• Accelerating demographic shifts in both New Zealand and Australia guarantee rising need for quality healthcare infrastructure.
• The Trust’s ongoing asset recycling (selling NZ$87 million in non-core assets) is freeing up capital for value-accretive reinvestment and debt repayment.
• Long-term, inflation-protected leases with leading healthcare operators lock in recurrent, resilient cashflow—a powerful hedge in periods of economic turbulence.
• Management’s clear focus on sustainability and ESG excellence adds a premium for institutional investors seeking defensive yield with responsible governance.
• A forecast 45.65% EPS growth for the next twelve months confirms a return to profitability and potential rerating by market participants.

In addition, the next distribution date (4 June 2025) and recently improved financial trends may act as near-term catalysts for renewed buying, particularly among income-focused investors.

Investment Strategies

• Short-term: Entry near the S1 pivot (NZ$1.891) offers immediate exposure ahead of the next distribution, with downside cushioned by strong technical support.
• Medium-term: Reversion to the consensus target price (NZ$2.02) and an eventual test of the 52-week high (NZ$2.07) creates a clear, attractive risk/reward.
• Long-term: The Trust’s defensive, recurring income profile, sector-leading assets, geographic focus on two high-growth healthcare markets, and disciplined management point to enduring returns and possible further multiple expansion as sector sentiment improves.

For investors seeking optimal exposure, current levels—just off major technical lows, amid improving momentum, and ahead of a likely upturn in financial performance—seem particularly appealing.

Is it the Right Time to Buy Vital Healthcare Property Trust?

In summary, Vital Healthcare Property Trust currently brings together an enviable mix of supportive macro trends, clear technical leadership, disciplined portfolio management, and attractive valuation. Yield-starved markets, coupled with the Trust’s robust 5.76% distribution and material discounts to asset value, justify renewed attention from both growth and income-oriented investors. The emerging bullish structure—validated by both algorithms and analyst consensus—indicates the stock may be entering a new and sustainable phase of outperformance, with significant upside potential should sector tailwinds persist.

For those seeking a compelling entry into the Australasian healthcare real estate market, the current environment seems to represent an excellent opportunity to consider Vital Healthcare Property Trust as an anchor position within a diversified portfolio. The next 12 months could well define a new era of growth and stability for this high-quality REIT, making it a name to watch closely as the sector evolves.

How to buy Vital Healthcare Property Trust stock in New Zealand?

Buying Vital Healthcare Property Trust (VHP.NZ) shares online is both straightforward and secure when using a regulated broker in New Zealand. Today, individual investors can easily purchase these NZX-listed units with just a few clicks, thanks to transparent digital platforms and robust financial oversight. There are two main ways to invest: direct spot buying, where you actually own the shares, or trading via Contracts for Difference (CFDs), which lets you speculate on price movements without holding the underlying asset. To help you make the right choice, you'll find a detailed broker comparison further down this page.

Cash buying

A cash purchase of Vital Healthcare Property Trust stock means you’re buying real units listed on the NZX, which you then own directly in your brokerage account. This method suits investors looking to benefit from potential price appreciation and annual dividends (with a solid historical yield of around 5.76%). NZ brokers typically charge a fixed commission per order—often around NZ$5 to NZ$15, depending on the platform.

Important example

Example:
Let’s say the current Vital Healthcare Property Trust unit price is NZ$1.93. With a NZ$1,000 investment and assuming a NZ$5 brokerage fee, here’s how it looks:

• Invest NZ$995 (after brokerage)
• Buy 515 shares (NZ$995 ÷ NZ$1.93 ≈ 515)
• ✔️ Gain scenario: If the price rises by 10%, your shares are now worth NZ$1,100.
• Result: That’s a gross gain of NZ$100, or +10%—simple and transparent.

Trading via CFD

CFD (Contract for Difference) trading allows you to speculate on price movements of Vital Healthcare Property Trust shares without owning the underlying units. Instead, you enter into a contract with the broker, who pays or charges you the difference in price between opening and closing the trade. CFDs typically involve a spread (the difference between buy and sell prices) and, if you hold positions overnight, daily financing costs.

Important example

Example:
You open a CFD position on VHP shares using NZ$1,000 of your own money with 5x leverage, giving you market exposure of NZ$5,000.

• If the stock price goes up by 8%, your position gains 40% (8% × 5).
• ✔️ Gain scenario: That’s a NZ$400 gain on your initial NZ$1,000 (excluding spreads and financing fees).

This method offers greater flexibility and potential returns, but also carries higher risk—especially with leveraged positions.

Final advice

Before investing, always compare brokers’ fees, trading conditions, and platform features to find the best fit for your needs. Whether you opt for straightforward cash buying or more dynamic CFD trading should depend on your risk appetite, time horizon, and financial goals. Take advantage of our comprehensive broker comparison further down the page to make an informed, confident start to your investment in Vital Healthcare Property Trust.

Our 7 tips for buying Vital Healthcare Property Trust stock

The latest news about Vital Healthcare Property Trust

Vital Healthcare Property Trust stock has surged 10.29% over the past week on strong technical signals. The latest market action on the NZX reflects growing investor optimism, with the price closing at NZ$1.93—up 3.21% on session and markedly outperforming the prior six-month relative return. The trust’s trading volume remains robust at about 483,610 shares per day (65-day average), underlining renewed buy-side momentum. Technical metrics are exceptionally favorable: all key moving averages (20, 50, 100, and 200 days) point to active buying, and both the MACD and RSI signal a continuation of the rally. Notably, consensus analyst targets (NZ$2.02) suggest further upside potential, reinforcing the “Strong Buy” stance currently dominating market sentiment.

Vital Healthcare Property Trust’s recent third-quarter FY25 results show improved revenue combined with reduced net losses. For the nine months ending 31 March 2025, revenue rose to NZ$133.55 million (a 6.1% increase versus the prior year), while net loss narrowed significantly to NZ$64.26 million compared with NZ$99.35 million previously. The improvement was driven by steady rental income from a diversified portfolio—over 45 healthcare properties and 125 tenancies—demonstrating resilience despite property revaluation pressures affecting the sector. The results beat market expectations in terms of recurring income, providing a constructive outlook for further operational recovery.

A quarterly distribution of NZ$0.0244 per unit has been announced, supporting the trust’s attractive 5.76% dividend yield. The payout, scheduled for 4 June 2025, continues the trust’s track record of stable cash distributions to unitholders and underscores its defensive REIT profile. This makes VHP especially compelling for local NZ income-focused investors, with the current dividend yield standing out among listed New Zealand REITs. The trust’s predictable cash flow, anchored by long-term healthcare tenant leases, offers protection amid ongoing market volatility.

Asset recycling continues, with more than NZ$87 million in non-core property sales since April, enhancing portfolio quality and balance sheet flexibility. Management’s ongoing strategy to divest non-strategic assets is yielding results, freeing up capital for future growth projects and optimizing the geographic and risk mix of the portfolio. These sales also help offset valuation volatility in the commercial property market and support the trust’s ability to maintain distributions, which is a critical signal of prudent stewardship recognized by the NZ investment community.

Market outlook remains constructive amidst a positive sector backdrop and robust financial forecasts for Vital Healthcare Property Trust. The trust is positioned to benefit from persistent demographic tailwinds—most notably, healthcare demand driven by an aging New Zealand and Australian population. Sell-side projections call for a strong 45.65% EPS growth over the next twelve months, and the “OUTPERFORM” consensus from local analysts highlights expectations of continued defensive outperformance. Coupled with conservative leverage, a Price/Book of 0.72, and support from large NZ institutional investors, VHP stands out as a stable and attractive exposure to the APAC healthcare real estate sector.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.