Investment Q&A

Q: Your opinion on Dir.un as thinking of buying & selling Mpct(same family) Txs for u usual great opinion & services

Q: I see these 2 REITs have been compared before, however they have both moved up lately and I am considering a long term holding 5+ years and would like your opinion which you think is positioned to grow more?
I am looking for industrial do you prefer a different canadian reit?

Q: What do you think of this company and life sciences real estate. Institutional money is starting to flow into the space - wondering if this company is a good buy/how is is valued.

Also, do you know any other ways to get exposure to life sciences real estate or data centres?

Q: What are your thoughts on this relatively small reit. Are its tenants substantial enough to have weathered the Covid - 19 crisis and is the dividend safe. Any other thoughts you may have would be appreciated.

Thanks for the great service

David

Q: These 2 companies paid a dividend prior to the Covid Collapse. In the case of American Hotel there is some indication of a possible return to dividend payments by Dec 2021 but it's not clear if Surge Energy will return to paying a dividend. Do you think these companies will return to paying dividends again, and if so, what should I be watching for to give me an idea of how long it will take to return to paying dividends.

Looking forward to your need website.

Q: Good day team,
I would appreciate your insights on Summit Industrial REIT. I don’t have any industrial REIT exposure at the moment but used to own Summit a while back. I’m wondering if I should buy again for long term hold and if there is still upside, or if there is another Canadian industrial REIT you would recommend and reasons why.

Q: Hi 5i!
I would like your opinion on TCN and Real Estate sector overall for its potential stability in an uncertain inflationary (permanent/transitory) environment. Can it be considered defensive?
Thank you!

Q: I am looking to add one REIT to my RSP portfolio. I would greatly appreciate your thoughts on the two listed above and if you have a better suggestion. What would be your preferred REIT please?

Thanks and a price increase for this service is well deserved in my humble opinion. Dan

Q: What is your opinion of this stock at it present price ? How stable is the dividend?

Q: I would appreciate your analysis of the new release regarding their recycling program, and how they would be able to achieve their target capitalization to over 750 million when they continue distributing 50% of gains from selling properties? In your opinion is it buy/hold sell at this time? Thanks

Q: I hold these in my TFSA. Do you think this is the best type of account to hold these in? Also, do you feel that these would be higher risk stocks compared to the general market as there seems to be a real estate bubble and would these come down exponentially more if / when there is a correction?
Thanks.

Q: Can you clarify about companies that pay part of their dividend through "Return of Capital". Are these considered a poor investment because they are just giving you your own money back? Also, what happens when you have had 100% of your original capital investment returned to you - do you still continue to receive "return on capital" even though you have received all of your original investment back or is the distribution then reduced as you no longer have any of your original capital left to return?
Thanks.

Q: I am trying to like this company enough to buy in, but have a problem. They have not raised their dividend since they started. It would seem that they grow by aquisitions, funded by issuing stock, but are not able to get a good enough deal to net better than the 6.2 % they are paying now. That doesn't speak well for management. What is the point of growth if it does not get more return? Their payout ratio is apparently 94%.
I always think that for a company that does that, they would at least increase their 6.2% if they fired the management who are - to quote Shakespeare - up to "much ado about nothing". That salary that is spent NOT increasing my payment (at least enough to keep up with inflation!) could go to the bottom line!
In fact, if they are raising their rent by inflation then the net should go up by inflation. The fact it does not generally means they are not managing their costs well at all.
So, that being said, can you muster any argument that could convince me this is worth buying? Hopefully I am missing something!
Thanks!
Paul K.

Q: NWH.UN's proposed purchase of Australian Unity Healthcare: https://www.newswire.ca/news-releases/northwest-healthcare-properties-real-estate-investment-trust-announces-2-6bn-proposal-to-acquire-australian-unity-healthcare-property-trust-884830846.html

Earlier 5i had summarized NWHs last results as "cash flow per unit of 20 cents missed estimates of 22 cents. 98.6% of rent was collected. Revenue was unchanged at $92.6M. Payout ratio 97% (87% normalized). Occupancy 97%. Assets rose 16.2%. Net asset value increased 2%. Leverage ratios declined. Considering covid, we would consider it a fairly decent quarter overall." and have ranked it fairly "low risk" as REITS go.

What impact, if any, do you feel if it's bid (if approved ) to acquire Australian Unity Healthcare Property Trust (at a 16% premium) would have on the above and on NWH's share price?

If there is a significant drop in the share price of NWH.UN would you see this as a "buy"?

Thanks!

Q: Hello,
How is the debt level and how has their revenue heldup? Is it a good time to invest in the company or are there a couple of other choices?
Thank you for your support.

Q: Hello 5i,

Crazy idea and does the following make sense?

For every BPY.UN unit you will receive .3979 of BAM shares.
My math --> BAM $60.74 x .3979 = $24.17 but BPY.un is trading at $22.60. This is a 6.6% discount.

Does it make sense to buy BPY and get BAM at a 6.6% discount?

If so, I am a genius. And how do I make sure I get the shares instead of the cash.

Q: The offer for BPY shares is US$18.17 from BAM. In the past 2 weeks BPY has been trading at a higher value. Today it closed at US$18.73, 3% above the offer. Why is it trading above the offer price?

The offer also said you could opt for 0.3979 of a BAM share. Today BAM closed at US$50.17. So if you opt for that option then you would get the equivalent of US$19.96. Are people bidding up BPY over the offer price and then they will exchange those BPY shares for 0.3979 of a BAM share? At today's prices they would make a 6.5% profit. BAM could fall between now and the closing so they are taking a risk. Is that the reason that BPY is trading above the offer price of US$18.17?

Paul

Q: Hi there, can I have your opinion on IVR?

Q: Hi 5i,

Any idea (news) why PLZ.un is up over 10% in the last 2 days?

What are your thoughts on PLZ at $4.40

Q: Can you rank these Reits for value and growth please. I’m considering adding to 1 or 2 of these names. Thanks