True North Commercial REIT T.TNT.UN

Is this a value stock?

[ckwong]

What do you think? The following is from ca.dividendinvestors.com. The symbol for TNT.UN is TNT_U.

Stock Information
Latest Close Price:	$ 6.90
52 Week Low - High:	$ 6.73 - $ 7.68
Revenue:	$ 34,222,000
Net Income:	$ 15,847,000
Cash Flow:	$ 18,147,000
EPS:	$ N/A
Market Cap:	$ 18,906,000
PE Ratio:	N/A
PE Ratio to Industry:	54 %
Debt/Equity Ratio:	151 %
Debt/Equity to Industry:	418 %
Total Return Last 12mths:	9.33 %
Total Return Last 3yrs:	35.79 %
Total Return Last 5yrs:	64.50 %
Latest Trade Date:	Mar-15-2022

[rabnud]

I think its a great reit   all I was concerned about  was why the SP fell so bad after a flat  year end FS   I asked for opinions here and all i got was a pot full of arrogant a$$holes 

[rabnud]

amazing market for reits last few days and not a single moronic post from pansca or scotch12 

[rabnud]

wow 5 trading days ago I was down $22000  on TNT and today iam in the green $5000  amazing i must say ;;;;;

[rabnud]

wow this fking reit trades like a gold or oil stock these days  way back down today

[rabnud]

wow this reit is up and down like a whores pants weird at best  ;;  other same reits are reasonable stable

[smilley69]

I bought this for my wife's tfsa at 6.78.  Excellent income....

[rabnud]

man this things really going down hard  I wonder why  ??  it made a great recovery 3 weeks ago and now its dreadfull even though trading is not heavy volumn ?

[ckwong]

smilley, you are smart. In TFSA, you don't have to worry about the return of capital calculation. All tax free.

[felix10]

Actually, it's not very smart putting this REIT in a TFSA. ROC was 100% the last few years which means you're sheltering income which was already tax free.  That doesn't make much sense since it would be tax free anyway in a regular, non-registered, non-sheltered account. What you should hold in a TFSA (or RRSP) are stocks that WOULD be taxed if they weren't in a sheltered

[bcsc]

ROC is not tax free. The income tax is deferred to the year in which the security is sold since the ROC reduces the adjusted cost base, increasing the capital gain. There is no guarantee that the current or future governments will keep the capital gains inclusion rate at 50%. Holding this in an RSP results in the capital gain being 100% taxed as income upon withdrawl.

[felix10]

bcsc: You're not wrong, but you're making assumptions which may or may not come to be. ROC is indeed tax free while you receive it. It does reduce your cost base, potentially increasing your eventual capital gains, but that could be decades in the future, or it's possible you wouldn't have any capital gains at all depending on how the price of the investment does in the long term.

[rabnud]

ROC is  non taxbale  period however it eventually will retrun all your capital and  IF  you were to sell the trust  then yes 50% of it will be taxable but if you keep it  only the dist will be taxable and again only 50%  of it is taxed  (unless like we say the government decided to yet fk us over and change the rate etc)   also to note if a

[bcsc]

Not a question of IF, at some point it will be sold (or deemed sold) and capital gains taxed.

[rabnud]

all dist after the roc is finished will be taxed  the original fund will never be taxed untill its sold  period 

[bcsc]

I believe we are in complete agreement on the tax treatment of the distributions and proceeds of the eventual sale.  We differ in the terminology used (tax free versus tax defferred) Lets leave at that.

[ckwong]

Allow me to chime in. If you keep ROC equity in TFSA and withdraw the distribution, then it is 100% gauranteed tax free and no worry of capital gain down the road. Of course, it is based on the assumption that you have the TFSA room.

[rabnud]

ROC is always 100% tax free its the remaining equity in the account that becomes taxbale eventually  except if in a TFSA  then I assume its never taxed?

[rabnud]

if they sell 50 million $ that will require another 4.5 million in income to pay distributuions  per year 

[Kylemcc10]

Yea I don't think they're gonna buy a property with 50 mill that'll cover that lol. They're already running over 100% payout ratio. The ability to raise 50 mill doesn't mean they'll utilize all of it anyway.