fire sale on REITs
My post is based on a similar post by jstran, who beat me to the punch.
I was going to write about how several of the REIT stocks that I have been following might have reached a bottom. They look like they might be able to sustain the nice dividends they are paying out, and may even avoid bankruptcy or delisting.
This week included positive earnings reports from AFN, CSE, and RSO. The post from jstran also mentioned RAS, which looks like another good possibility. A hotel-related REIT that I have been following is SPPR, which also has potential even in this current economic downturn.
"CapitalSource Inc. (NYSE: CSE) today announced financial results for the first quarter 2008. Adjusted Earnings for the quarter were $113.3 million or $0.51 per diluted share, and net income for the quarter was $6.8 million or $0.03 per diluted share." (analyst consensus was for $.50).
"Resource Capital Corp. (NYSE: RSO) a real estate investment trust whose investment strategy focuses on commercial real estate loan assets and, to a lesser extent, commercial finance assets, reported results for the first quarter ended March 31, 2008. Adjusted net income, a non-GAAP measure excluding the effect of non-cash charges and non-operating capital transactions, of $10.4 million, or $0.42 per share-diluted for the quarter ended March 31, 2008 as compared to $9.4 million, or $0.38 per share-diluted for the quarter ended March 31, 2007, an increase of $1.0 million (10%). (analyst consensus was for $.42).
"Alesco Financial Inc. (NYSE: AFN) (AFN), a specialty finance real estate investment trust, today announced financial results for the three-months ended March 31, 2008. AFN reported Adjusted Earnings, a non-GAAP measure of performance, for the three-months ended March 31, 2008 of $20.2 million, or $0.34 per diluted common share, as compared to Adjusted Earnings of $17.2 million, or $0.31 per diluted common share for the three-months ended March 31, 2007." (analyst consensus was for $.27).