Temple Hotels (TPH.TO) Buy, Sell or Hold

Temple Hotels (TPH.TO)

2.10

-0.00 (0.00%)

as of Feb 21, 2020, 9:00:00 pm Market Open.

14 watching

HOLD

Loves the concept of having hotels in Fort Murray. Right now there is a glut of capacity in Fort McMurray and they had to cut the distributions. There is life coming back into the community and that is positive. It will take time and you have to be patient.

BUY

Basically this is a bet on Fort McMurray is they basically control most of the hotel space. His long-term believe is that the oil sands will be developed. Vacancy rates have increased over the last several months, which has affected the stock price. Good value at this price.

DON'T BUY

(Market Call Minute.) Stuck with expensive properties in the tar sands.

DON'T BUY

Hotels, largely up in the oil sands area. With oil hitting $70, it might pick up again. None of the hotels will stay as REITs. Very high debt. A very challenged entity. Very risky.

PAST TOP PICK

(A Top Pick March 28/08. Down 65%.) Still likes because of Fort Murray. Trust has been hit along with oil prices. Took distributions down quite a bit to reflect less occupancy in their hotels. Going into the 2nd quarter he will watch to see what occupancy rates are. 19.9% yield.

DON'T BUY

Cut distributions by about 50%. Limited service hotels, mainly Fort McMurray. Better quality names available with less inherent risk.

PAST TOP PICK

(A Top Pick March 28/08. Down 30.1%.) A “bird in the hand” way of participating in the oil sands. Feels the 30% distribution is safe. Debt rollover risk could be an issue in 2010. Hotel rates have not dropped and occupancy rate is good.

SELL

Huge exposure to Fort Murray. Some question as to whether oil sands are viable because of the low price of oil. Management is divided between REITs so not the type of focus you would want. Over distributions. Not a big fan of lodging REITs at this stage.

COMMENT

Owns hotels in Fort McMurray. Have expanded substantially over the last 2 years. Have a lot of debt. At current oil prices, every new project up oil sands will be cancelled but hotels are fully booked in advance for quite some time. In the short-term, the 22.7% yield is safe.

BUY

Extremely small cap. Owns major portion of hotel space in Fort McMurray that is the major driver for earnings. Much of that space is pre-booked through 2009 and well into 2010. No big debt balloons coming up. Although companies are cutting back on expansion in the oil sands, there is still a shortage of living space. Cash flow seems to be steady at $1.20.

DON'T BUY

It's a lodging REIT and so it's exposed to deteriorating fundamentals and there may be some refinance issues.

HOLD

Limited service hotels in Western Canada. About 90% of free cash flow comes from Fort McMurray. The biggest issue is that as the cash flow has grown, so has the distribution. Not a huge fan of management. Consider deploying into another name.

TOP PICK

Hotels in Fort McMurray. Oil sands projects are not going away. Distribution is $1.20 and they have room to raise it. Thinks oil prices will be higher longer-term.

BUY

Own all the hotel space in fort McMurray. Will continue to be a busy area.

TOP PICK

(A Top Pick March 28/08. Up 40%.) Have 50%+ of class A hotel rooms in Fort McMurray. Rates and occupancy continue to go up. Paying out less than the fund is generating from operations. 13% yield.

Showing 46 to 60 of 69 entries

Most Recent Experts

Jim Cramer - Mad Money

CNBC

Brian Madden

First Avenue Investment Counsel

The Panic-Proof Portfolio (Stockchase Research)

Stockchase Premium

Darren Sissons

Campbell Lee & Ross

The Weekly Buzzing Stocks by Billy Kawasaki

Stockchase

Stockchase, in its reporting on what has been discussed by individuals on business television programs (in particular Business News Network), neither recommends nor promotes any investment strategies.

We paraphrase the experts by hand, we watch the shows and write down what we understood from the experts’ comments. We are human and can make mistakes, help us fix any errors. If you see something that you know is not right or if there is a problem with the site, feel free to email us at : [email protected].

Temple Hotels (TPH.TO)