Artis Real Estate Investment Pref Shs Series E T.AX.PR.E

Does the market hate...

[InvestSmarter]

Serious question. Does the market hate the asset class, the asset mix, Samir himself, Samir's investment strategy, quality, location, balance sheet, or all of the above?

Its obvious the market hates AX, but why? Most beat down large (well, now mid/small) cap REIT in Canada, for a reason. The maket hates AX, so what does AX need to do to fix this and get a unit price recovery?

[SNAKEYBOY]

Actually as I pointed out the AFFO multiple of artis is consistent with many reits at about 10x.  Where affo goes sp will move up and down accordingly.  Only industrial,  and riocan etc pure plays are getting better multiples

[SNAKEYBOY]

To be honest I'm not sure why artis isn't doing worse given their strategy and probably an unproven/ risky manji. Office seems to be the bigger killer of some reits at the moment. Unfortunately artis is being more overweight office another reason to be at lower multiple. 

[Reece1986b]

To answer your question, the market clearly does not like the diversified asset mix and if sentiment here is any indication, the market does not like the investment strategy of investing in public market REITs. I'm sure some potential investors are uncomfortable with the level of debt, that it is largely variable interest rate debt, and that debt maturities have not been managed better. All of

[Frankie10]

sure the market hates the industry broadly - dosn't explain specific AX weakness. i believe the market hates the industry because the industry is asset intensive with lots of debt. biggest company-specific issue has always been the debt. sure dosn't help that the unique element of AX and Manji is the deal making - which based on Cominar, and less so FCR and Dream Office - has been horrible