H&R Real Estate Investment Trust T.HR.UN

A good hedge against inflation

[Torontojay]

H&R is currently providing a dividend yield of close to 6% on an annualized basis. This is above and beyond the expected inflation rate of the economy. It is also higher than short term rates offered by the government. 

- a 1 year t-bill =~ 5.34% 
- 3 month t-bill =~ 5.426% 

H&R dividend yield =~ 5.72% 

The next question to ask: is the dividend yield safe? 
Looking at the cash flow statement, I would say the dividend is safe. The cash the company generates is sufficient to cover the dividend payout over the next year.

[SNAKEYBOY]

Its one of the safest in the industries, thats why its so low.  The NCIB should theoretically push the payout ratio lower. If they come in with higher than 0.26 AFFO this quarter the stock will RIP

[Frankie10]

Don't count on it. FX will be a drag on eanrings and AFFO.   this is so dumb... H&R is an inflation hedge because it pays a dividend? From a guy who dosnt even own the REIT, lol. H&R is an inflation hedge because the underlying is hard assets, in addition to the options to buy a billion $+ of real estate denominated in CAD (hedge on CAD inflation). Stick to being an macro

[Torontojay]

Hi Frankie. I'm glad you are finally coming out of your shell.  Here is a post in which I'm engaged in an interesting discussion with Capernhaum. Do you really think I don't understand the micro concepts or are you just being ignorant?  https://stockhouse.com/companies/bullboard/illm/illumin-holdings-inc?threadid=35334016

[Frankie10]

Definitley ignorant. Yield = inflation hedge. Now I know. Thank you.

[Torontojay]

You mean definitely ignorant or definitley ignorant? Which one is it? 

[Frankie10]

Definitely the first one! Just please don't stop educating us about inflation hedges. Thank you kindly.

[Torontojay]

At least learn how to spell before you try to challenge me.  You wouldn't stand a chance anyway.