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Invesque Ord Shs T.IVQ

Alternate Symbol(s):  T.IVQ.DB.U | MHIVF | T.IVQ.DB.V

Invesque Inc. is a healthcare real estate company. The Company is focused on investing in a portfolio of North American properties across the health care spectrum. The Company's portfolio includes investments in independent living, assisted living, memory care, skilled nursing, transitional care, and medical office properties, which are operated under long-term leases and joint venture arrangements with operating partners. Its portfolio also includes investments in owner-occupied seniors housing properties in which the Company owns the real estate and provides management services through its subsidiary management company, Commonwealth Senior Living. The Company owns or has a majority interest in a portfolio of approximately 68 properties in the United States, comprised of 57 assisted living and memory care facilities, nine skilled nursing facilities and two medical office buildings.


TSX:IVQ - Post by User

Comment by CarmeloAon Aug 21, 2020 11:42am
224 Views
Post# 31438587

RE:Need explanation

RE:Need explanation
FFO (fund from operation) is less relevent;
deduct capital expenditures to have AFFO (adjusted FFO).
But you will still need to account for the principal portion of their mortgage
AFFO minus Principal Repayment=FAD (Fund available from distribution)
It is why AFFO payout is not always relevent. Does not say what happens to the principal portion (refinanced or not). If the debt structure includes amortized loans, then we should rely on FAD payout.

Back to your original question. Based on FFO and AFFO and Peer multiple, yes, the company should be traded higher (Between $7 and $10). But the structure a mainly triple net leases, so a potential default of an operator may not appear in the AFFO until it is fully materialized. FFO and AFFO Multiple also take into account management track record.
Beside, if you see the last few month trading volume which is ridiculous, nothing is happening. nobody is really buying nor selling; Just the same small retailer or players playing Hide-and-seek
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