Given all the pessimism about this REIT, a quarterly dividend cut to "only" $0.50 per share will be a big boost to the stock price.
You got that right. They have delivered so little for common shareholders. But they award themselves with generous stock options.
We seem to make up most of the posts on this message board. There is always hope that in late March 2016 CVHL will finally report some earnings. Although with the huge increase in shares outstanding, the 2015 annual report will probably be a modest number on a per share basis. Tricadia Capital Management, LLC had to believe their investment would pay off. I hope so and soon.
This is the time of tax loss selling. 2015 certainly would be a reason for this selling. But CVHL still has the $400 million in net operating loss carry forward (NOL's). That is a big plus going forward and I think the reason why Tricadia invested in this company. Future profits will benefit from that asset.
NNN and O were just upgraded. VER is a better value in the triple-net REIT business. Yes, patience will be rewarded.
" On Wednesday, Stifel boosted price targets for two triple-net REITs, National Retail Properties, Inc. (NYSE: NNN) and Realty Income Corp (NYSE: O).
Stifel increased its target price from $41.00 to $43.00 for National Retail Properties, citing the business model should continue to work next year; and also raised its target price from $52.00 to $54.00 for Realty Income, with the research firm seeing another solid year ahead for the company."
$0.24 per quarter equals $0.96 per year.
NEW YORK, Dec. 16, 2015 (GLOBE NEWSWIRE) -- New York Mortgage Trust, Inc. (NYMT) (the “Company”) announced today that its Board of Directors declared a regular quarterly cash dividend of $0.24 per share on shares of its common stock for the quarter ending December 31, 2015.
VER is very attractive when compared to its REIT peers. They all invest in commercial properties that are generally triple-net leased to single corporate tenants.
The chart below shows each company's enterprise value to EBITDA. The metric is similar to price to earnings, but it swaps net income with EBITDA -- a key cash flow measure -- and market cap with enterprise value, which gives a more comprehensive view of a company's total value.
Stock ----- Enterprise value to EBITDA
O --------------- 19.43
NNN --------------- 18.26
WPC ------------- 15.93
VER -------------- 12.44
See the 11-20-15 article in Motley Fool which covers most of this analysis excluding VER.