Alaris Equity Partners Income 5 50 convertible unsecured subordinated Debentures T.AD.DB

payout ratio and book value

[mickeymouse]

From the July 7th news release:

"It is estimated that the cash flows associated with the full payments from PF will decrease the trusts run rate payout ratio by over 4% to between 55% and 60%"

Very postitive news no matter how PH (Scotia analyst) tries to spin it - he is the only one of 8 analysts who does not rate Alaris as a buy or outperform.

When you compare the payout ratio and yield for Alaris to the other choices in the dividend universe it stacks up very well.

In adddition to the PF distributions being restarted the addiitonal bump in the book value of their investment in CCom is a nice suprise - $7.2 Million USD more than what it was valued at the end of Q1 this year.

"Creating the optimal dividend stream for investors" is the main statement from the investor tab on their website - with the payout ratio where it is don't be suprised if there is a dividend bump announced next quarter.

[Tommy123]

This post has been removed in accordance with Community Policy

[WindsorGuy]

I agree. Return of royaty payments from one of the investments a very good sign. The payout is more secure now. 7.34% with a P/E of 7.5X is very hard to beat IMHO. GLTA

[SunsetGrill]

I would not count on that Minnie - they just changed the direction/mandate of the company to get the ratio down to 60% and not pay out all their free cash flow. They are not going to jeopradize that by hicking it so soon. IMHO that would send the wrong signal to the street that they are going back to old ways. They are going to build a base here and get some positive cash flow to play with and

[mickeymouse]

[felix10]

Good quarter and good outlook. Dividend raised from .31 to.33. Let's hope the unvaccinated in the U.S. don't cause the country to shut down a lot of businesses again.

[SunsetGrill]

Well Minnie, I stand corrected. I dont like the decision but will see what is said on conf call this AM. Maybe things are very very rosy. I think they should have waited another qrt or two. I always have assumed once the first divy announced it will now be an annual event. Company appears to be in the best shape in quite a while (10 years) quote=mickeymouse] [/quote]

[babedinkleman]

This post has been removed in accordance with Community Policy

[SunsetGrill]

Dinkle: Recall last conf call Alaris stated they have already committed the redemption money from Kimco and Federal to the  latest investments.  I think Body Contours still has a least one more tranche of investments (if not two - if they meet growth targets) that are quite significant. See if lhe lone holdout (Scotia) up target tomorrow after call