Opinions
Richard Orrell
CI First Asset Canadian REIT ETF
RIT-T
PARTIAL BUY
Jul 22, 2025
Stock price when the opinion was issued
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Billy Kawasaki’s Insights - Picks from 5i Research. It has high quality assets and a strong return history. Although the fund charges higher fees, it is justified considering the good performance record and healthy distribution history. Unlock Premium - Try 5i Free
Premium contentRIT holds Canadian real estate assets. We like that its holdings are not concentrated in only two assets. The average PE is 12x and it trades below book value. REITs are a good way to diversify your portfolio. The space has been under pressure for a while due to interest rate volatility, but with rate cuts anticipated going forward this is a good time to enter. We recommend setting a stop-loss at $14, looking to achieve $19 -- upside potential of 18%. Yield 5.18%
Premium contentAs a diversified REIT with holdings averaging 12x earnings and trading under book value, we reiterate RIT as a TOP PICK. It has rebounded well following the negative tariff news. We continue to recommend a stop at $14, looking to achieve $18 -- upside potential of 18%. Yield 5.4%
The MER is a little more than that of XRE, but it returns slightly more. Those two are choices in real estate. Lower interest rates will be good, but housing starts are slow. Limit your real estate exposure for the sake of liquidity and the outlook.