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Why I Like NewRiver REIT plc (LON:NRR)

NewRiver REIT plc (LON:NRR) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of NRR, it is a dependable dividend-paying company that has been a rockstar for income investors, currently trading at an attractive share price. In the following section, I expand a bit more on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, read the full report on NewRiver REIT here.

Good value average dividend payer

NRR’s share price is trading at below its true value, meaning that the market sentiment for the stock is currently bearish. Investors have the opportunity to buy into the stock to reap capital gains, if NRR’s projected earnings trajectory does follow analyst consensus growth, which determines my intrinsic value of the company. Compared to the rest of the market, NRR is also trading below other listed companies on the GB stock exchange, relative to earnings generated. This further reaffirms that NRR is potentially undervalued.

LSE:NRR Intrinsic Value Export November 21st 18

NRR’s high dividend payments make it one of the best dividend stocks on the market, and it has also been able to maintain it at a level in which net income is able to cover dividend payments.

LSE:NRR Historical Dividend Yield November 21st 18

Next Steps:

For NewRiver REIT, there are three fundamental factors you should further research:

  1. Future Outlook: What are well-informed industry analysts predicting for NRR’s future growth? Take a look at our free research report of analyst consensus for NRR’s outlook.
  2. Historical Performance: What has NRR’s returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of NRR? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.