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Strategies & Market Trends : Value Investing

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To: Grommit who wrote (42694)9/30/2011 5:14:50 PM
From: E_K_S   of 78673
 
Hi Grommit -

Medical Properties Trust Inc. (MPW)

I am tempted to nibble at some MPW. It has recently sold off quite a bit and is now selling at $8.95/share and getting close to it's 52wk low ($8.76/share). MPW comes out with earnings next week. If they meet annual earnings expectations ($0.76/share) they will sell at 11.5 PE. I am not too sure what the future holds but during the 2009-2000 crash this one sold down as low as $4.00/share.

I sold half of my shares earlier this year around $11.00/share. Their dividend is yielding 8.9% but I am not sure if this will be maintained or not.

Are you still looking at the other (non medical) Reits and/or would consider upping MPW on current or lower prices?

GOV is holding well on these sell offs and both COR and DLR have been in a good trading range. I would think that MPW would be seen as a necessity like food when times are tough'

Perhaps I will use my standard rule of buying shares at a 10PE or less. That would translate into a price of $7.60/share.

Any thoughts on this one?

EKS
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