Boardwalk REIT (BEI.UN-T)
138 watching
TSE:BEI.UN
43.63
0.68
(1.58%) 1d
Financials
Technical Analysis
Buy, Sell or Hold?
Jul 7, 2022, 2:52 pm
0
BUY
Allan Tong’s Discover Picks BEI.UN stocks sport only a 4.1x PE (Killam Apartment REIT trades at 5.9x), yet pay a 2.58% dividend, admittedly not the highest. (Killam pays 4.19%.) Also, daily volumes average only 145,000, so it’s not the most liquid asset out there. However, Boardwalk margins are attractive and comparable to its peers. Its profit margin is nearly 103% and ROI is 8.21%, which is in-line with the sector. Circling back to the oil boom, Boardwalk has been enjoying that tailwind. Current weakness in the TSX correction represents a buying opportunity. Read 3 defensive stocks to find stability with your money for our full analysis.
property mngmnt / investment
$42.570
Owned
BUY
TCN has a unique concept, single-family rentals south of the border. Lots of traction. Valuation too hot. Long-term scalability might be tough. For good value and a higher dividend, look at AX.UN, BEI.UN, or REI.UN.
property mngmnt / investment
TOP PICK
Tailwind with 37% of its apartments in Edmonton and 17% in Calgary. Alberta doesn't have rent control. Clear line of sight to net operating income growth. Stock price should go up $10-15. Occupancy is up, so they have pricing power instead of relying on rental incentives. Big discount to NAV, solid management. Yield is 1.93%. (Analysts’ price target is $64.40)
property mngmnt / investment
BUY on WEAKNESS
Likes Canadian apartment REITs as a defensive asset class. Stable rent collections. Higher valuations right now. His go-to name is BEI.UN, a more western-focused, multi-family residential. Oil patch cyclicality can hit BEI.UN, and you can get it at a discount. Sector is rich, wait for a pullback.
property mngmnt / investment
TOP PICK
Affordable apartments with 37% in Edmonton and 17% in Calgary, an area with an improving occupancy rate and a more diverse economy. Cheapest apartment REIT globally. Should have NAV of $74 which would be about $20 more than its mid-$50 stock price. Owns and is buying.
property mngmnt / investment
TOP PICK
He's bullish on Alberta. Next year, he expects unemployment rate to be lower than it was pre-Covid, pretty remarkable. With higher oil prices and more diversified economy, Alberta's a winner next year. Lowest multiple yet highest earnings growth, a powerful combination. Highest cap rate in its sector. Very bullish if concessions are removed and they can lease up space, with a potential unit price of $75-90. Yield is 1.76%. (Analysts’ price target is $60.32)
property mngmnt / investment
TOP PICK
A value name in the multi-family space for some time. Higher energy prices don't hurt a REIT with a lot of presence in Calgary and Edmonton. He is focused on demand and supply. What has plagued them is concessions, which are going away in Calgary. This puts it at worth north of $50. Shorts are going to have to cover. The set-up is pretty good. (Analysts’ price target is $53.92)
property mngmnt / investment
TOP PICK
Mostly in western Canada. Tougher geography to be in. A way to express optimism in that market. Concessions are going away, so we'll see substantial cashflow growth. Discount to NAV. Could be 30% upside, though some risk as it's tied to the vagaries of oil. Yield is 2.2%. (Analysts’ price target is $45.25)
property mngmnt / investment
BUY
Allan Tong’s Discover Picks Two weeks ago, Boardwalk reported that its occupancy rate was weathering Covid lockdowns. April 2021 occupancy clocked in at 95.7% and was 100 basis points higher than February 2021. Meanwhile, rental collections are on par with pre-Covid numbers. FFO, funds from operations, climbed 4.8% during the first three months of this year. The average PT for BEI.UN stock now stands at $43.50, offering 16.5% upside, based on five buys buys and three holds. The summer driving season, the economic reopening across Canada, and the return of commuting bode well for the Albertan oil economy and the other economies where Boardwalk operates. Though BEI.UN stock has rallied 37% this year already, there should be further upside, and investors can collect the 2.65% dividend in the meantime. Read 3 Enticing TSX Stocks: Banks, REITs and Tech for our full analysis.
property mngmnt / investment
PAST TOP PICK
(A Top Pick Jan 12/21, Up 9%) Irrationally hit hard on pandemic and oil price collapse. Cost of funding has dropped. Trades at a significant discount to NAV. Should get to the mid-upper $40s over the next year.
property mngmnt / investment
PAST TOP PICK
(A Top Pick Jan 29/20, Down 25%) His proxy for residential REITs. His top pick today.
property mngmnt / investment
TOP PICK
Best of the apartment REITs. Trades at a big discount to NAV. Rent collection rate is 99%. They're defensive. Holdings in Alberta benefit from a high-growth rate in the general economy as oil comes back. (Analysts’ price target is $40.02)
property mngmnt / investment
DON'T BUY
They collect 96% of their rents and cash flow is decent. But in REITs, you have fair market adjustments in your properties; they had breakdowns in Edmonton, Calgary and less so in Regina. BEI has a lot of exposure to the energy patch, though their actual numbers are okay, because these write-downs are not cash (unless they sell a building at a loss). The worst is probably over, but he can't predict what will happen in the oil sector.
property mngmnt / investment
DON'T BUY
They own in Montreal and Ontario, but their driving force is Alberta. But Alberta has challenges, so their unit value is well below NAV. He doesn't see BEI expanding anytime soon.
property mngmnt / investment
PAST TOP PICK
(A Top Pick Oct 25/19, Down 37%) It has had a tough couple of years here. It is a really good buy right now, trading at a 30% discount to net asset value. They were able to collect more than 95% of their rents. One day the value will shine through.
property mngmnt / investment
Boardwalk REIT(BEI.UN-T) Rating
Ranking : 4 out of 5
Bullish - Buy Signals / Votes : 3
Neutral - Hold Signals / Votes : 0
Bearish - Sell Signals / Votes : 0
Total Signals / Votes : 3
Boardwalk REIT(BEI.UN-T) Frequently Asked Questions
What is Boardwalk REIT stock symbol?
Boardwalk REIT is a Canadian stock, trading under the symbol BEI.UN-T on the Toronto Stock Exchange (BEI.UN-CT). It is usually referred to as TSX:BEI.UN or BEI.UN-T
Is Boardwalk REIT a buy or a sell?
In the last year, 3 stock analysts published opinions about BEI.UN-T. 3 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Boardwalk REIT.
Is Boardwalk REIT a good investment or a top pick?
Boardwalk REIT was recommended as a Top Pick by on . Read the latest stock experts ratings for Boardwalk REIT.
Why is Boardwalk REIT stock dropping?
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
Is Boardwalk REIT worth watching?
3 stock analysts on Stockchase covered Boardwalk REIT In the last year. It is a trending stock that is worth watching.
What is Boardwalk REIT stock price?
On 2022-07-07, Boardwalk REIT (BEI.UN-T) stock closed at a price of $43.63.
