Well, I got totally blind-sided with this 8 million shares offering. Why didn't the management disclose this during the meeting today? This is very dishonest, and I do not like that. I will keep watching these shares but this has put a bad taste in my mouth. I can deal with market ups and downs like what happened in 2009; however I do not like it when I get the feeling that I cannot trust a management. Please disregard my original post as I wrote that after the release of the earning report, and before the dilution news.
As you remember I shorted RAS and it seems that I was correct in my assessments, and I made handsomely on that bet. I covered my position yesterday after IRT earnings came out. With today's report I think it is time to start accumulating RAS while the shares are below $6.50 range. This of course does not mean that you should sell when the shares will reach $6.50, it is just my opinion that you will get a good deal below that price. Of course we revisit the state of the company periodically.
For the newcomers to RAS, Remember not to act with your emotions. Just buy and hold at these levels as the Dividend seems to be safe for the foreseeable future. As always, this is just my humble opinion, and you should do your own due diligence.
Davis, my point is that concentrating on RAS would have done the shareholders more good, but I have been suspicious of the intentions of the RAS management for many years now, as I do not think the welfare of shareholders being on top of the management list.
For whatever it is worth, I give you my idea of this IRT: RAS should have never created IRT, and should have concentrated on holding onto Apartments & expanding on its own instead of creating IRT.
Look at RAS share price, and for that matter the IRT today. If RAS had concentrated on rental properties alone, its Book Value would be at least double of what it is today.