I am an amateur with a small interest in this company. My question to this board is this: is anyone here worried about all the stock issues this company has been doing lately? In 2008, there were 62 million shares outstanding. In 2009 - 74M, 2010 - 78M, 2011 - 96M. This does not seem like a good trend to me, unless they can used the money received very well. I am a little worried they are using this money to pay ordinary expenses and to fund the dividend. If they can use it to grow their core business, that would be a positive thing however? Can somebody else weigh in on this? Cheers.
Yes, I should learn more about the mREIT model. I do however understand the reason for the high dividend -- REITs must distribute 90% of taxable income to avoid being subject to the corporate tax, but this is just a taxation strategy and not really a business model. I also think that your point is somewhat of a diversion to the question I originally asked: is anyone worried about shareholder dilution? Just because they are a REIT does not mean the are required to do more stock offerings (which they've done a lot of recently). Like I also said, if they can use the additional capital raised WELL, then they actually could increase shareholder value. A prudent investor should be skeptical at first, and seek to verify these things with numbers and facts.