Alaris Royalty Corp ALARF

Shares are still good value

[OceanRanger1]

Shares are still good value at these levels.

There are minimal disruptions to the revenue stream with only two deferrals throughout the 17 partner companies.
BCC is already up and running again so distributions have re-started while Planet Fitness is struggling to fully re-open against the surge of Covid cases in their areas.
After not paying for over 2 years Kimco re-starts distributions at US $100,000 per month.
....and there are a couple positive resets expected from the group.
Amur paid a nice dividend and we expect dividends from Carey soon.
Also it appears that Alaris tripped over an opportunity in the PPE space which is expected to result in a healthy margin over the next 100 days.

Management team is strong, insider ownership is high, cost of capital is very low....and the deal pipeline is said to be robust.

What's not to like here?

Alaris shares were trading north of $23 in February.
Covid related disruption to the revenue stream is minimal while the damage to the share price sits at about half the value from February highs.

With news of fresh capital deployments imminent there seems to be many positive catalysts ahead capable of pushing the share price above the new book value of $15.50  .....and just for kicks - collect a dividend that yielded over 10% at the start of trading today.

What's not to like here?

I expect sudden and violent increases in the shareprice to occur at any time.
That's why I hold an overweight position.


Long Alaris!!