From the Chicago Sun Times
Here is a planted news story that indicates to me they are getting ready to run RMTR.
It's right time for these REITs
the curious investor | Best-run real estate investments trusts not suffering the pain of the subprime crisis
December 16, 2007
The Federal Reserve gaveth again last week, cutting interest rates to steady an economy wobbling from real estate trouble. But Wall Street didn't think the Fed gave enough, and stocks fell, with some of the biggest decliners being real estate investment trusts.
But the week's trend should bring out the buyers for the best-run REITs, many of which have no direct connection to the funk in for-sale housing. Examples include Simon Property Group (SPG), Vornado Realty Trust (VNO) and Equity Residential (EQR).
The mall-owning SPG is experiencing healthy increases in sales and rents per square foot, and has one of the best development pipelines in the business, said analyst Greg Sukenik of Zacks Investment Research, who rates the stock a "buy." Morningstar analyst John Coumarianos went on CNBC to sing the praises of Vornado's "first-class management team."
Sukenik also likes EQR, one of the nation's largest landlords. With the mortgage crisis turning buyers into renters, EQR is benefitting from lower vacancies, higher rents and a lack of new apartment buildings.
If you look at real estate companies, stay away from home builders. The whole sector still exhibits toxic stock syndrome. A Morningstar report last month went into excruciating details of REITs it considers to be overvalued. The report by Joel Bloomer lists Post Properties (PPS), Home Properties (HMF), Tanger Factory Outlets (SKT), Mid-America Apartment Communities (MAA), SL Green Realty (SLG), Douglas Emmett (DEI) and United Dominian Realty (UDR).
A SHORT STORY? Westell Technology (WSTL), a provider of high-speed telecommunications and Internet equipment, has been a favorite stock of local speculators, and a popular pick in the Sun-Times annual Monkey Manager stockpicking contest. But it's seldom lived up to expectations. The shares topped more than $40 in 2000, but since have been on a mostly one-way ride down to Friday's close of $1.37.
But maybe someone's been shorting those shares who shouldn't have. The Aurora-based company said the Securities and Exchange Commission has obtained subpoena authority to investigate possible insider trading at the company. It said it is cooperating fully with the SEC.
CHEAP CHECKUP: Last week, Curious Investor wrote about Bill Mathews, founder of the Cheap Investor newsletter. Continuing that theme, here are Investor's Business Daily's top-rated stocks that trade for under $10. The roll call: Actuate (ACTU), Citizens (CIA), Darling International (DAR), Internet Initiative (IIJI), Lawson Software (LWSN), Microtune (TUNE), Netsol Technologies (NTWK), Ramtron International (RMTR), Universal Insurance Holdings (UVE) and Wonder Auto Technology (WATG). |
