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SLI - the next to look anomalously cheap...

SKYSHIP
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SLI - the next to look anomalously cheap...

#334634

Postby SKYSHIP » August 20th, 2020, 11:44 am

Standard Life Property Income Trust (SLI) dipped to 51.5p last week, recovered to 55p; but have fallen back again to 52.5p. At this level they look anomalously cheap for a trust which historically used to trade at cNAV level, now trading at a 34% discount.

What particularly catches my eye is that the directors have recently bought in reasonable volume in the 54p/55p range.

The property portfolio is mainly Office & Industrial, with very low exposure to Retail.

The LTV is 26.2%, the debt cost is 2.59% and they just this month had the confidence to pay a 2nd Interim Dividend.

Well worth a little investigation. The shares have recently swung post the crash level of 50p, up to 80p, down to 58p, up to 70p; now trading hopefully a base in the low 50s.

IMO they look good for a 10%-15% short-term trade.

richfool
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Re: SLI - the next to look anomalously cheap...

#349630

Postby richfool » October 21st, 2020, 6:16 pm

SKYSHIP wrote:Standard Life Property Income Trust (SLI) dipped to 51.5p last week, recovered to 55p; but have fallen back again to 52.5p. At this level they look anomalously cheap for a trust which historically used to trade at cNAV level, now trading at a 34% discount.

What particularly catches my eye is that the directors have recently bought in reasonable volume in the 54p/55p range.

The property portfolio is mainly Office & Industrial, with very low exposure to Retail.

The LTV is 26.2%, the debt cost is 2.59% and they just this month had the confidence to pay a 2nd Interim Dividend.

Well worth a little investigation. The shares have recently swung post the crash level of 50p, up to 80p, down to 58p, up to 70p; now trading hopefully a base in the low 50s.

IMO they look good for a 10%-15% short-term trade.

Now at 49.50p. Yield: 9.71%. Discount to NAV -38.81%

Dare I top up?

https://www.hl.co.uk/shares/shares-sear ... ust-ord-1p

nmdhqbc
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Re: SLI - the next to look anomalously cheap...

#349634

Postby nmdhqbc » October 21st, 2020, 6:29 pm

richfool wrote:Now at 49.50p. Yield: 9.71%. Discount to NAV -38.81%

Dare I top up?

https://www.hl.co.uk/shares/shares-sear ... ust-ord-1p


The latest dividend seems to have been re-based to 0.714p so yield of (0.714*4)/49.5 = 5.77% might be more realistic. I've been tempted to get back in myself. I managed to get out at 94p in Feb. Dumb luck more than anything.

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Re: SLI - the next to look anomalously cheap...

#350418

Postby SKYSHIP » October 25th, 2020, 9:25 am

Richfool - In my experience you should never, ever trust HL stats. Always when needing to calculate key indicators such as NAV or Yield, go to the recent company announcements on ADVFN & extract stats for yourself.

I agree with the above poster re the dividend. For the time-being my spreadsheet assumes 2.856p; but with a likely annual total of 3.332p.

Like many of these REITs, seek to buy on a dull day and sell into strength. I was lucky enough to make a couple of purchases a few days ago, averaging 48p; having sold a week earlier at 52.2p!

RGL were down at 60p at the same time...another opportunity to trade...

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Re: SLI - the next to look anomalously cheap...

#350423

Postby richfool » October 25th, 2020, 9:40 am

SKYSHIP wrote:Richfool - In my experience you should never, ever trust HL stats. Always when needing to calculate key indicators such as NAV or Yield, go to the recent company announcements on ADVFN & extract stats for yourself.

I agree with the above poster re the dividend. For the time-being my spreadsheet assumes 2.856p; but with a likely annual total of 3.332p.

Like many of these REITs, seek to buy on a dull day and sell into strength. I was lucky enough to make a couple of purchases a few days ago, averaging 48p; having sold a week earlier at 52.2p!

RGL were down at 60p at the same time...another opportunity to trade...

Agreed. I only use such sources as a guide.

I hold both SLI and RGL which are of course both very well down. I was indeed aware that both had cut their dividends. My ponderings are more along the lines of which has more exposure to industrial warehousing and least exposure to High Street Retail and offices, and dare I top up either of them.

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Re: SLI - the next to look anomalously cheap...

#350463

Postby SKYSHIP » October 25th, 2020, 11:20 am

Well, my spreadsheet of 17 REITs includes the portfolio allocation, so I can constantly remind myself when an sp appears to be in anomalously cheap mode.

However, one has to start from a correct (IMO!) analysis as to which sector to hold:

# Clearly NOT RETAIL; but retail warehouse appears to be the turn-round kid according to recent footfall stats

# Industrial warehouse overbought and prices coming off the boil

# Office - a major difference between City offices (esp. London) and regional offices. The latter may well be a beneficiary of office disbursement to the regions

SLI's port. mix is: Office- 32%; Industrial - 53%; Retail - 2%; Retail W'hse - 6%; Spec/Alt - 7%

IMO - current Best Buys are: AIRE, EPIC & SREI

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Re: SLI - the next to look anomalously cheap...

#350483

Postby richfool » October 25th, 2020, 1:01 pm

SKYSHIP wrote:Well, my spreadsheet of 17 REITs includes the portfolio allocation, so I can constantly remind myself when an sp appears to be in anomalously cheap mode.

However, one has to start from a correct (IMO!) analysis as to which sector to hold:

# Clearly NOT RETAIL; but retail warehouse appears to be the turn-round kid according to recent footfall stats

# Industrial warehouse overbought and prices coming off the boil

# Office - a major difference between City offices (esp. London) and regional offices. The latter may well be a beneficiary of office disbursement to the regions

SLI's port. mix is: Office- 32%; Industrial - 53%; Retail - 2%; Retail W'hse - 6%; Spec/Alt - 7%

IMO - current Best Buys are: AIRE, EPIC & SREI


But you prefer SLI to RGL then?

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Re: SLI - the next to look anomalously cheap...

#350491

Postby SKYSHIP » October 25th, 2020, 1:40 pm

As always, it depends on price...at least it does for those of a short-term disposition....which, I admit, is me/?$!

RGL: Sp 65p - NAV disc = 36.6%; Yld = 9.2%

SLI: Sp 51p - NAV disc = 35.9%; Yld = 5.6%

Youy already hold these two, so diversify a little. Go for one of the others I mentioned.

Best pick? .......perhaps EPIC ahead of the Q3 Update

EPIC: Sp 49.9P - NAV disc = 44.7%; Yld = 8.02%

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Re: SLI - the next to look anomalously cheap...

#361459

Postby SKYSHIP » November 30th, 2020, 2:56 pm

Some great rises since that last post.

EPIC up 30% to 65p; RGL up 27% to 83p (now 18%); SLI up 25% to 64p (now just 8%).

Perhaps keep an eye on SLI - could be a good trade again @ 55p, certainly if they go lower...

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Re: SLI - the next to look anomalously cheap...

#405332

Postby richfool » April 19th, 2021, 12:30 pm

Date: 20 April 2021

Company: Standard Life Investments Property Income Trust Limited

LEI: 549300HHFBWZRKC7RW84

Subject: Dividend Declaration

Fifth Interim Dividend

On 3 February 2021, recognising the importance of dividends to shareholders, the Board indicated that a further interim dividend would be payable in order to comply with the REIT rules to distribute at least 90% of its annual property income within 12 months of the year end. The Board is therefore pleased to declare that a further property income dividend will be payable by the Company in respect of the year ended 31 December 2020 as follows:

Dividend per Share - 0.381p

Ex-Dividend Date - 29 April 2021

Record Date - 30 April 2021

Payment Date - 18 May 2021

Following the payment of this dividend, shareholders will have received payments totalling 3.713 pence per share in relation to the year ended 31 December 2020, representing 78% of the 2019 level. Based on this dividend level, dividend cover was 110% for 2020.

https://uk.finance.yahoo.com/news/stand ... 00802.html

Isn't that a reduction in dividend compared to previous quarters, or is that an additional dividend relating to the year?

Current SP 66.40p (up a whisker +0.20p).

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Re: SLI - the next to look anomalously cheap...

#405425

Postby midgesgalore » April 19th, 2021, 5:00 pm

Hi richfool
I have interpreted that as an additional property income dividend payable in respect of the year 2020 to December 31st., NOT the first quarterly dividend of 2021.
They did headline the payment as a "Fifth Interim Dividend "
Weird as we would be expecting a first quarter dividend, January to March, 2021 - around the end of May.

midgesgalore

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Re: SLI - the next to look anomalously cheap...

#405678

Postby SKYSHIP » April 20th, 2021, 9:08 pm

# SLI: 66.5p - Discount 18.9% & yield 5.58%

# SREI: 41.6p - Discount 29.3% & yield 6.01%

SREI remains the best value REIT.


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