Is Healthpeak Properties, Inc. (Old) overvalued or undervalued?

As of 3 February 2025, the valuation grade for Healthpeak Properties, Inc. (Old) moved from fair to very attractive, indicating a significant improvement in its valuation outlook. The company appears undervalued, particularly when considering its P/E ratio of 38, which is notably higher than peers like Gaming & Leisure Properties, Inc. with a P/E of 18.89 and Host Hotels & Resorts, Inc. at 19.10. Additionally, Healthpeak's EV to EBITDA ratio stands at 7.48, which is more favorable compared to Regency Centers Corp. at 28.07, suggesting that Healthpeak may offer better value relative to its earnings potential.
Despite the attractive valuation metrics, Healthpeak has underperformed the S&P 500 in multiple time frames, with a year-to-date return of -8.39% compared to the S&P 500's 12.22%, and a three-year return of -27.80% versus the S&P 500's 70.41%. This underperformance may reflect broader market trends or specific challenges within the company, but the current valuation ratios suggest that it could be an appealing investment opportunity at its current price of 18.57.