Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: James Clarke who wrote (8734)	10/23/1999 3:53:00 AM
From: Madharry	Respond to of 78628

It seems to me that USU was primarily bought by institutions at the IPO and don;t they all have to dump by 10/31/ to get a tax advantage in 1999? That being said should we not expect the price to bottom sometime in November as some of these companies will repurchase during November? I think that most dividend investors will not rush to dump a stock which is paying such a nice yield.

To: James Clarke who wrote (8734)	10/23/1999 9:29:00 PM
From: Q.	Read Replies (2) \| Respond to of 78628

re. <<I'm looking at SNH with great interest>> Be sure to check the tenants of this particular REIT, as listed in the prospectus. After Marriott, the next several biggest all have stocks that have collapsed and now trade for pennies. Mr. Market is saying that they are at great risk of going belly up. Which brings up the issue of whether they will be able to pay the rent.

To: James Clarke who wrote (8734)	10/24/1999 9:27:00 PM
From: valueminded	Respond to of 78628

James/Others: Appreciate your thoughts on this thread. I also sold my Lki because I did not like the last quarter. USU on the other hand I am seriously considering adding more. My only problem is I cant see the downside for it, yet obviously many sellers are happy to sell at this price. It makes me suspicious. In terms of net/nets or value plays, I offer up frdm (friedmans jewellers) for consideration. while I have not bought yet, I am intrigued by the considerable insider interest, price/sales of .3, price/tangible book < .5 . It pays a dividend has decent cash flow and earnings. Some institutional value players seems to have taken an interest in it. Would appreciate your feedback. thanks

To: James Clarke who wrote (8734)	10/29/1999 7:03:00 PM
From: Robert Hoefer	Read Replies (1) \| Respond to of 78628

I understand why SNH is so tempting, with its extremely high yield, but after reading the prospectus (available on the company website in .pdf format) I decided to pass. With a number of its renters in deep financial trouble, the yield is probably an illusion. The other half of the spinoff, HRP at less than $9.50, has a great, though not as high, yield, and much better tenants: Government, big companies like McDonalds and Federal Express. Average office lease runs 7 years. And HRP was beaten down just like SNH after the split, just the opposite of what you would think would happen. So I think it's the better REIT of the two for an aggressive but prudent investor.