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Strategies & Market Trends : REITS - Buying 1 - 2 weeks before going ex-dividend -- Ignore unavailable to you. Want to Upgrade?

To: George T. March who wrote (493)	11/19/1997 11:38:00 PM
From: Richard Barron	Read Replies (1) \| Respond to of 2561

Peter, PPS is a hard one to gauge. Lots of good management, but they haven't issued many new shares, so they can't grow as fast as the consolidators. I like the company when the FFO multiple is below 12, and near 14 think it is fully priced. I knew it was a buy near 36, and I'd recommend selling 1/2 here and trying to stretch the other half if you are in for a trade. Long term, you can expect 12-16% combined. George, I stopped following GVE on a daily basis about a year ago, since it is in the AMEX emerging market and I have to change the symbol for each service I use. Some are GVE/SE, GVE.EC, and GVE.A@@@E for my tradestation. Still, they announced about a year ago that they thought they would consolidate and grow 7fold or so and the stock would be worth something like 17. Since then, They are up from 8 to 11 with a split (something like 1.2 or 1.4 to 1, but I'm not sure) FFO growth is about 7% in the last 9 months and a FFO multiple about 10-1/2. There was some insider buying a while ago also and it is down near 11 from a high around 12-3/8. They just raised the dividend from .63 to .68 annually and just had a huge secondary (increasing the size by about 70%) which will let them pick up a lot of real estate. The last info I have is the: CFO is Joesph LaBrosse at 1-860-520-4789. It is very thinly traded, but I have a good feeling about this and have regretted each time I meant to buy it and didn't. It was under 8 in January and has been one of the best performing REIT's this year, with very little backing up. It has a great looking chart and it poised to rebound soon. PTR is a great company, but has a 16 FFO multiple at it's peak and this market is scared at the moment, so the highest FFO multiple REIT's are struggling. This one should have earnings that justify the current prices in 6 months, so for long term investors, it's probably a great one. I still show the S&P didn't cross the down trendline and am biased towards a pullback. Notice the Nasdaq didn't really participate in the rally today. With the long bond near 6.00 %, there is lots of room to reverse and not too much chance of a strong gain from here in bonds. With the bonds and utilities acting so strong, I expect it to trickle down to REIT's soon for any investor still searching for a decent yield. Richard