Correction and retraction of above. The above comment was incorrect and intended for the EQC board. SNH appears solid to me.
The common dividend declaration doesn't appear likely. The current management took over by impugning the reputation of the prior management despite the fact I understand current management has a bankruptcy filing pattern.
It is nice that you live in that simple world when the sum total of investment philosophy can be defined in one sentence. A couple of experiences you have missed: I bought Hilton Worldwide senior notes at 40 cents on the dollar(yield 20%) for 5 years, which paid off at par one year ago; I bought CBL Pfd D at 25 cents on the dollar nominal value, nominal yield of 7-3/8% times 4. They are currently trading above $25 par.
Clearly, you are playing the short side. With funds flow 4 times the dividend(thats after expenses) and relatively low senior debt(unsecured debt--no collateral). Unsecured debt implies strong credit quality. You are living a fantasy.
The fund manager should have clarified his statement as to discernment in chasing yield. There are some high yield investments that are indeed traps while others are good values. The model for ARCP is similar to NNN and O, which have been successful models for a long period of time. ARCP has a much larger, stronger investment platform of properties . The rub comes in that they are new to the public investment markets but have experienced, capable management. My background: MBA Accounting
Sentiment: Strong Buy
PWE should hold on to those valuable properties. PWE shouldn't have problem finding a financial partner.
The assumption of plentiful and cheap oil may be temporary. Does anyone think ISIL will be stopped in Iraq? What about Kuwait or Saudi Arabia? Whats more, lots of oil around the globe is in Russia and Venezuela. Are these our friends? And what about all the lawsuits and what extent will they amount to anything?
Sentiment: Strong Buy
I don't think one can be so definitive in terms of cash flow...lots of moving parts. RL acquisition adds significantly. If one compares the properties, financial metrics compared to O and NNN(both successful models), ARCP looks pretty good.
Who is going to stop ISIL. This is worrisome indeed and I don't think the U.S. enters the ground war--tried that for 10 years or so. It is unfortunate but I wouldn't be shorting oil these days...short term thinking indeed. If ISIL controls Iraq, can Kuwait and Saudi Arabia be far behind?
Know them personally huh? David Kay has a pretty good reputation in the industry. Do you think the assets assimilated/accumulated over the last year or so was done by those eager to deal with someone untrustworthy?
There is a lot of criticism about ARCP being "opaque(not transparent). Most like CVX although it drills in the arctic of Russia(is that less opaque?, West Africa. And then there is tech...want to wrap your heads around all of that. Most companies have some level of difficulty when it comes to analysis. Having lots of properties, well leased, a strong equity base, is more transparent than most. A lease on a bunch of CVS drugstores, for instance, seems pretty straightforward in comparison.
as they disparage stocks like this one and FGP(which has paid a $2 distribution for 20 Years). The assets and capital scale of this company should provide ARCP a long term stable cash flow....keep the eye on the bullseye.
I take no position on PWE and have been out for awhile. Trading options is a losers game but add and subtract all trades over time. It may be more fun than Vegas but its basically just gambling. The decision is entirely yours...just my opinion...not here to proselytyze.
A long term income investor should buy. They didn't "invest" in Red Lobster properties to flip it.
alleges to be a graduate of "Bama". As graduate of UT-Knoxville, I'm familiar with the intellectual caliber of graduates of major southern universities, most of whom are in the upper 10% of their high school classes upon entrance. Graduate schools at the likes of "bama and similar are even more selective.
Those with intellect and graduate of a major university knows the weakest of attacks are those of a personal, ad hominem variety...and whitebear is a liar.