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Player Avatar boxxer55 (98.32) Submitted: 11/21/2011 8:50:45 PM : Outperform Start Price: $16.94 PEB Score: +63.19

21 Nov 11: In my opinion, this stock has the potential to be one of the best long-term performers in my portfolio over the long term (5-10 years). Management is very experienced and have already demonstrated their ability to execute their business plan. They raised money to purchase hotels after the crash, taking advantage of depressed valuations then invest to both improve revenue and reduce overhead. As earnings ramp up, the dividend will rapidly follow. The common dividend could rapidly approach and then exceed the rate on the preferred shares (PEB.A) which closed today over 8.6%. Combine the future high dividend level with the appreciation potential of the common and you get the best of both worlds, a high dividend based on what you pay today and enormous upside appreciation potential. I purchased about 3.5% of my current portfolio in August paying between $14.25 and $14.65. If we get another pullback to those levels (doubtful but possible), I'll buy more. The only knock on buying more here is that it is a high beta stock. If we get more punishment due to U.S. or European debt concerns (high probability), the shares could be pushed sharply lower. If you think long-term, buy here. If you want to wait for better prices, a pullback will almost certainly bring them. Buy at today's level (below $18) and buy hard below $15.

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