True North Commercial REIT T.TNT.UN

TNTs dividend pre-slit

[garyreins]

At $1.60 and their old distribution was something like 20%.  Back at $2.75ish the dividend would be 12%  or so.  And this dividend was safe and had 70% payout ratio. 

Nowadays no REIT yields that so if they reinstated the old dividend we'd probably back $3.50-$4.00 now with 8-9% yield, while other  reits give 5-7% now

[cooper90]

Agree, I think our dear TNT CEO does not want to reinstate a new divi at the current price of $12.80 or pre-split = $2.22 which would need to be in the yield range of 8% (much lower divi) basically a  huge reduction in the dividend annually, compared to the old (after cut divi) of 70% payout.  Its my thinking that they want to get another few rate drops in the books, pushing this up on

[flamingogold]

Cooper, I totally agree with you. With inflation at the BoC's 2% target they will now likely go a full .5% in October to stop the slowdown and push the economy back into drive. GLTA, it's been a long time coming but... it's coming.

[Northforce13]

Further illustration of undervaluation = peer office REITs Allied and Dream SP 10-11% AFFO yield TNT 2.50 AFFO / 13 SP = 19.2% Gap exists because of problems TNT had compounded by higher leverage Problems addressed, refis going well, expanded credit facility, announced imminent dividend re instatement Writing is on the wall for those that can read it Money on the table for those who act

[BlueJay2020]

Yep,. compelling value here and accumulation at these levels will be rewarded.  This story reminds of Shawcor (now Matr) which sunk to below a buck and no-one seemed to touch it with a hundred foot pole.  I didn't get in quite at the bottom, but still made a lot of money on it even though I got out a long time before it hit $18.  Sentiment changes on a dime and suddenly there is

[flamingogold]

"Sentiment changes on a dime"... so true. This is where being a contrarian can pay off immensely. BlueJay you and I did it with SRV. I am doing it with BBD... yes... Bombardier, the one name everyone loves to hate to the core. Also doing it with nursing homes which during covid was the centre of criticism and had everyone running away from it. Today, it's office space. It's

[BlueJay2020]

Yep! Doesn't always work as investors in Chorus and AHOT.UN will testify, but it helps to keep us humble! I have learned to accept that making losses is part of making profits. Currently I am heavily underwater in INO but I still think I will get back in the black eventually. So tempting to sell when you sense more immediate catalysts - such as with TNT.

[SIGG1]

TNT.UN has a nice run lately, INO.UN's turn will come, market cap of 36M is ridiculously undervalued for their assets. 

[Sinister]

Isnt INO.UN for France and Germany real Estate? So its not affected by what happens here? I have no clue just asking.

[SIGG1]

yes France, Germany, Spain.  For the same reasons, inflation and interest rates are coming down there too... Not only in Canada. 

[BlueJay2020]

Yes, properties in Europe but still affected by global sentiment.  Much worse occupancy levels than TNT but has arguably been punished more. Not one for the faint of heart, but could be a four-bagger from here.

[wildrunner11]

SRV was great. Also survived thought HCG and now TNT.