09-20-2018, 05:02 AM
Let's add another negative into the list.
-Current market cap is just shy of 300 million. 81.6 million is currently existing properties, 21.2 million is cash, 57.4 million is short term investments, so basically cash. And in some smaller stuff and we get total assets of 161.7 million. Guess we should deduct "accounts payable" and "rent advance/security deposits" which total 8 million.
So we have a market cap of 300 million and only a little over 50% of that is covered by the assets the company owns. Mind you, half of those assets are basically cash. So to really round it up, you get like one quarter of property, one quarter of cash and two quarters of hopes and dreams.
The price to FFO wasn't that concerning when we take into account how much more FFO will be generated when those cash reserves will be used. But when looking at it from this side, it does appear that there is some major overvaluation when compared to other REITs.
-Current market cap is just shy of 300 million. 81.6 million is currently existing properties, 21.2 million is cash, 57.4 million is short term investments, so basically cash. And in some smaller stuff and we get total assets of 161.7 million. Guess we should deduct "accounts payable" and "rent advance/security deposits" which total 8 million.
So we have a market cap of 300 million and only a little over 50% of that is covered by the assets the company owns. Mind you, half of those assets are basically cash. So to really round it up, you get like one quarter of property, one quarter of cash and two quarters of hopes and dreams.
The price to FFO wasn't that concerning when we take into account how much more FFO will be generated when those cash reserves will be used. But when looking at it from this side, it does appear that there is some major overvaluation when compared to other REITs.