2024-02-01 08:04:03 ET
Summary
- EPR Properties is a diversified experiential net lease REIT with a focus on properties catered around experiences.
- The company has made improvements to its portfolio through development projects, as well as capital recycling initiatives.
- EPR's financials show positive growth, with an increase in FFOAA per share and impressive revenue, and the company has successfully collected deferred rent from the pandemic.
- The monthly dividend yield of 7% is well-covered and likely to grow in the near future.
Overview
In my previous analysis of EPR Properties ( EPR ), I discussed how I believed some dividend raises were to come. While I still believe that to be true, I would like to revisit EPR and discuss the updated financials. I still like EPR at these levels and the monthly dividend is a great bonus. I think the REIT has plenty of growth in the future as the experience economy continues to show steady growth year after year. The main update here are the improvements in financials due transition out of the Regal exposure they previously had and the anticipated interest rate cuts upcoming. As we progress through the year and more progress is made in the theater area, I believe we will see some nice price appreciation when combined with rate cuts. Lastly, I believe shares are undervalued if we reference the FFO per share. We are currently approaching the same FFO per share from 2018, yet the price still sits under the expect $60/share price mark....
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For further details see:
EPR Properties: Improved Portfolio And Strong Financials