TSXV:PAR.H - Post by User
Post by
YieldChaseron Dec 12, 2013 11:36am
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Post# 21998878
Why PAR.un is heading for sub $3
Why PAR.un is heading for sub $3 In my opinion the distributions need to be cut in 2014 to preserve cash as they overdistribute based on FFO and especially AFFO.
Numbers don't lie. With a flat NOI I arrive at sub $3 share value, as follows:
| PAR REIT Value Analysis | | | |
| | | | | |
| As of Sept 2013 | | | | |
| | CAP Rate | 7.0% | 7.5% | 8.0% |
| NOI | 8,724,242 | | | |
| Implied Value | | 498,528,114 | 465,292,907 | 436,212,100 |
| Cash & Rec. | 10,597,326 | | | |
| Total Assets | | 509,125,440 | 475,890,233 | 446,809,426 |
| | | | | |
| Liabilities | 407,280,530 | | | |
| Implied NAV | | 101,844,910 | 68,609,703 | 39,528,896 |
| Oustanding shares | 25,893,684 | | | |
| NAV/share | | 3.93 | 2.65 | 1.53 |
I am out. Will be buying with new management at sub $3 as McCowan might be taking over and League might be trufed as managers. We shall see what transpires in 2014.
Merry Christmas.