TSE:HOT.UN
7.23
0.04
(0.55%)
Analysis and Opinions about HOT.UN-T
Signal
Opinion
Expert
DON'T BUY
DON'T BUY
November 4, 2019
It is operating in a very difficult space and he is short in that space. These leases reset every night. Revenue per available room at best is going be flat over the next year. They have too much debt and don’t cover their distribution.
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It is operating in a very difficult space and he is short in that space. These leases reset every night. Revenue per available room at best is going be flat over the next year. They have too much debt and don’t cover their distribution.
SELL
SELL
July 31, 2019
This would be a sell for him. He is not into the hotel space. It comes down to how well you operate these assets. He is not a fan of the operations or management. Railway hotels that are now being sold at losses. Not a good investment. Avoid.
Show full opinionHide full opinionThis would be a sell for him. He is not into the hotel space. It comes down to how well you operate these assets. He is not a fan of the operations or management. Railway hotels that are now being sold at losses. Not a good investment. Avoid.
DON'T BUY
DON'T BUY
July 23, 2019
This REIT has had so many problems. They owned a lot of railway depot hotels, where engineers would take rest. These contracts have been lost and they own in secondary markets. They have over distributed and missed earnings on several occasions. They are now having to invest to keep these assets maintained. This is still a work in progress stock. He does not think the 12% yield will be sustainable. Stay away.
Show full opinionHide full opinionThis REIT has had so many problems. They owned a lot of railway depot hotels, where engineers would take rest. These contracts have been lost and they own in secondary markets. They have over distributed and missed earnings on several occasions. They are now having to invest to keep these assets maintained. This is still a work in progress stock. He does not think the 12% yield will be sustainable. Stay away.
COMMENT
COMMENT
May 6, 2019
A steady downtrend since 2017, but there are places to hang your hat. Now, it's in a seasonal time, going up or sideways at worst in the summer.
Show full opinionHide full opinionA steady downtrend since 2017, but there are places to hang your hat. Now, it's in a seasonal time, going up or sideways at worst in the summer.
DON'T BUY
DON'T BUY
April 1, 2019
A huge dividend is not a good thing. The market is telling us something – the dividend is too high. They may be capitalizing too much of their maintenance expenditures. The CAP-X is about 6% of net operating income. It should be 20-25%, which is closer to what they are actually spending. They don’t have to cut their dividend, but at this point in the cycle and with more sensitivity in the cycle, they should be more conservative with their capital.
Show full opinionHide full opinionA huge dividend is not a good thing. The market is telling us something – the dividend is too high. They may be capitalizing too much of their maintenance expenditures. The CAP-X is about 6% of net operating income. It should be 20-25%, which is closer to what they are actually spending. They don’t have to cut their dividend, but at this point in the cycle and with more sensitivity in the cycle, they should be more conservative with their capital.
BUY
BUY
February 26, 2019
A REIT that owns hotels in secondary US cities. They've upgraded old hotels, many on railway lines. They took a cash-flow hit and the street wasn't ready for that. The stock took a big hit in 2018. Good sustainable yield of 11%. As these investments pay off this and next year, they'll see higher income and share price. But they need to show payback and results in their next earnings report.
Show full opinionHide full opinionA REIT that owns hotels in secondary US cities. They've upgraded old hotels, many on railway lines. They took a cash-flow hit and the street wasn't ready for that. The stock took a big hit in 2018. Good sustainable yield of 11%. As these investments pay off this and next year, they'll see higher income and share price. But they need to show payback and results in their next earnings report.
BUY
BUY
November 15, 2018
REITs aren't doing bad now. We're getting close to the end of the cycle rate-tightening as bond yields have risen alot. on This REIT comes down to your view on interest rates--he thinks we'll come to the end of this in 6-12 months when the cycle turns. REITs like this have decent valuations. However, the bears say that the bond market will correct for another two years.
Show full opinionHide full opinionREITs aren't doing bad now. We're getting close to the end of the cycle rate-tightening as bond yields have risen alot. on This REIT comes down to your view on interest rates--he thinks we'll come to the end of this in 6-12 months when the cycle turns. REITs like this have decent valuations. However, the bears say that the bond market will correct for another two years.
DON'T BUY
DON'T BUY
September 12, 2018
He suggests to be careful about chasing yield. He would not suggest any investor to average down in this type of near peak market conditions. This is one you want to be disciplined with your exit strategy, especially if it drops below $8.50 per share level.
He suggests to be careful about chasing yield. He would not suggest any investor to average down in this type of near peak market conditions. This is one you want to be disciplined with your exit strategy, especially if it drops below $8.50 per share level.
DON'T BUY
DON'T BUY
May 29, 2018
He's met them a few times and nearly bought their stock. It was the hotel chain for railroad workers, but have since re-positioned themselves into premiere brands operating in secondary markets like Pittsburgh. They've done a good job of repositioning, but had a poor quarter. True, there are good things in thosenumbers, but it'll take maybe three quarters to work through this transition. Also, hotels are vulnerable to an economic downturn.
He's met them a few times and nearly bought their stock. It was the hotel chain for railroad workers, but have since re-positioned themselves into premiere brands operating in secondary markets like Pittsburgh. They've done a good job of repositioning, but had a poor quarter. True, there are good things in thosenumbers, but it'll take maybe three quarters to work through this transition. Also, hotels are vulnerable to an economic downturn.
HOLD
HOLD
March 1, 2018
He has met with their management a few times. They have transitioned their business from hotels for railworkers and staff, which was a simple and good business. They have transitioned to owning more hotels, generally in B cities in the US. He doesn’t have confidence that this will work out well. Its price has been dropping. He doesn’t recommend selling it this low.
He has met with their management a few times. They have transitioned their business from hotels for railworkers and staff, which was a simple and good business. They have transitioned to owning more hotels, generally in B cities in the US. He doesn’t have confidence that this will work out well. Its price has been dropping. He doesn’t recommend selling it this low.
WATCH
WATCH
February 7, 2018
They owned hotels in smaller US markets along railroad lines. When margins got squeezed they diversified and focused on business travelers. It is cheap and the dividend looks safe. Buying on US GDP growth. Yield 8%.
They owned hotels in smaller US markets along railroad lines. When margins got squeezed they diversified and focused on business travelers. It is cheap and the dividend looks safe. Buying on US GDP growth. Yield 8%.
COMMENT
COMMENT
November 29, 2017
This was a focused railroad hotel. They did a new contract with the rails, which allows them to resell 20% of unused accommodation to the general public. They focus on suburbia USA. The railway business is less important now, being only 30% versus the 60% it used to be. The stock has been under pressure, and he wouldn’t be surprised to see better numbers coming out. It is interesting and he is looking at it.
This was a focused railroad hotel. They did a new contract with the rails, which allows them to resell 20% of unused accommodation to the general public. They focus on suburbia USA. The railway business is less important now, being only 30% versus the 60% it used to be. The stock has been under pressure, and he wouldn’t be surprised to see better numbers coming out. It is interesting and he is looking at it.
PAST TOP PICK
PAST TOP PICK
September 15, 2017
(A Top Pick Aug 30/16. Down 9%.) Hotels that railway employees used to use. They’ve been expanding in the past couple of years into branded hotels, which have been doing fairly well up until the last quarter, where they have been renovating a larger than normal number of rooms. This has a 9% yield.
(A Top Pick Aug 30/16. Down 9%.) Hotels that railway employees used to use. They’ve been expanding in the past couple of years into branded hotels, which have been doing fairly well up until the last quarter, where they have been renovating a larger than normal number of rooms. This has a 9% yield.
COMMENT
COMMENT
September 13, 2017
They were always known as the railroad hotel as they had contracts with railroad providers. That is now only about 20% of the REIT. They focus on secondary markets in the US and have brands including Marriott, Hilton and Holiday Inn. They came in with numbers that were light. Margin compression was happening at the rail side of the business. There were also some timing issues with regards to a couple of the new hotels. This is a play on US GDP growth. With the US$ where it is, this is probably not a bad time to have US assets. He would like to see another quarter numbers. About 78% payout ratio which is normal. Distribution of almost 9%.
They were always known as the railroad hotel as they had contracts with railroad providers. That is now only about 20% of the REIT. They focus on secondary markets in the US and have brands including Marriott, Hilton and Holiday Inn. They came in with numbers that were light. Margin compression was happening at the rail side of the business. There were also some timing issues with regards to a couple of the new hotels. This is a play on US GDP growth. With the US$ where it is, this is probably not a bad time to have US assets. He would like to see another quarter numbers. About 78% payout ratio which is normal. Distribution of almost 9%.
BUY WEAKNESS
BUY WEAKNESS
August 17, 2017
Tied to the railroad industry, mid-west US. They made some non-rail acquisitions. They had a mini-stumble. This is not a bad entry point below $10.
Tied to the railroad industry, mid-west US. They made some non-rail acquisitions. They had a mini-stumble. This is not a bad entry point below $10.
