Fundamental data is updated weekly, as of the prior weekend. Please download the Full Report and Dividend Report for any changes.
Latest Valuentum Commentary
Jun 11, 2021
CubeSmart Outperforms and Boosts Its Full-Year Guidance
Image Source: CubeSmart – June 2021 IR Presentation. We continue to be huge fans of CubeSmart and like the self-storage REIT as an idea in the High Yield Dividend Newsletter portfolio. A greater percentage of US households have been turning to self-storage offerings over the past several decades in order to maximize their living space in an economical manner according to data cited by Public Storage (another idea included in the High Yield Dividend Newsletter portfolio) and Extra Space Storage. Secular tailwinds support CubeSmart’s promising growth outlook. Shares of CUBE are up 38% year-to-date as of the end of normal trading hours on June 10, easily outpacing the 12% gain seen in the S&P 500 during this period before taking dividend considerations into account. As of this writing, shares of CUBE yield ~2.9%.
Jun 9, 2021
Public Storage and Philip Morris Are Stellar High-Yielding Opportunities
Image Shown: Shares of Public Storage (depicted by the orange line) and Philip Morris International Inc (depicted by the blue line) have outperformed the S&P 500 (depicted by the yellow line) year-to-date as of midday trading on June 9, before taking dividend considerations into account. We continue to be huge fans of Public Storage and Philip Morris and include both firms as ideas in the High Yield Dividend Newsletter portfolio. Public Storage, the self-storage real estate investment trust (‘REIT’) primarily focused on the US, and Philip Morris International, the global tobacco giant behind the Marlboro brand and the IQOS offering, are two of our favorite high-yielding ideas. As one can see in the graphic, shares of PSA and PM have outperformed the S&P 500 year-to-date, as of midday trading on June 9, before taking dividend considerations into account. We include both Public Storage and Philip Morris as ideas in the High Yield Dividend Newsletter portfolio.
Jun 1, 2021
ICYMI -- Video: Exclusive 2020 -- Furthering the Financial Discipline
In this 40+ minute video jam-packed with must-watch content, Valuentum's President Brian Nelson talks about the Theory of Universal Valuation and how his work is furthering the financial discipline. Learn the pitfalls of factor investing and modern portfolio theory and how the efficient markets hypothesis holds little substance in the wake of COVID-19. He'll talk about what companies Valuentum likes and why, and which areas he's avoiding. This and more in Valuentum's 2020 Exclusive conference call.
May 24, 2021
Thinking Slow: 3 Research Blind Spots That Changed the Investment World
Image Source: EpicTop10.com. We have to be on high alert about how our minds work. PBS is premiering a four-part series examining about how easily our minds are being hacked, and why it is so important to "think slow." Tune in. When it comes to the active versus passive debate, does the analysis suffer from parameter risk? With respect to empirical, evidence-based analysis, does the analysis have the entire construct wrong? When it comes to short-cut multiples, are we falling into the behavioral trap of thinking on autopilot?
Apr 30, 2021
Public Storage Breaks Out!
Image Shown: Public Storage’s chart looks mighty attractive, with shares having experienced a powerful breakout recently. Its dividend is equally attractive, in our view. There's a lot to like about Public Storage. The company's unique financial position relative to other REITs when it comes to traditional free cash flow covering dividends makes its payout comparatively less risky, while its strength during the COVID-19 meltdown has revealed the durability of its free cash flow stream through thick and thin. Perhaps the only thing more attractive than its fantastic chart is the health of its dividend, which is further backstopped by an A2/A investment-grade credit rating, one of the highest ratings for any REIT. We continue to like Public Storage as an idea in the High Yield Dividend Newsletter portfolio, with shares yielding a solid ~2.9% at this time.
Apr 8, 2021
The Best Years Are Ahead
The wind is at our backs. The Federal Reserve, Treasury, and regulatory bodies of the U.S. may have no choice but to keep U.S. markets moving higher. The likelihood of the S&P 500 reaching 2,000 ever again seems remote, and I would not be surprised to see 5,000 on the S&P 500 before we see 2,500-3,000, if the latter may be in the cards. The S&P 500 is trading at ~4,100 at the time of this writing. The high end of our fair value range on the S&P 500 remains just shy of 4,000, but I foresee a massive shift in long-term capital out of traditional bonds into equities this decade (and markets to remain overpriced for some time). Bond yields are paltry and will likely stay that way for some time, requiring advisors to rethink their asset mixes. The stock market looks to be the place to be long term, as it has always been. With all the tools at the disposal of government officials, economic collapse (as in the Great Depression) may no longer be even a minor probability in the decades to come--unlike in the past with the capitalistic mindset that governed the Federal Reserve before the “Lehman collapse."
Mar 22, 2021
Our Reports on the Real Estate Investment Trusts (REITs)
Our stock reports on the diversified REIT sector can be found in this article. Reports include CONE, DLR, FRT, O, REG, SPG, WPC, PEAK, HR, LTC, OHI, UHT, VTR, WELL, PSA, EQIX, CUBE, EXR, IRM.
Feb 25, 2021
Public Storage’s Traditional Free Cash Flow Coverage of the Dividend Is Unique for a REIT
Image Source: Mike Mozart. In light of Public Storage’s core FFO coverage of the payout and its traditional free cash flow coverage of the payout, we think its dividend is about as healthy as any REIT’s gets. Public Storage is also one of the highest-rated REITs by the credit rating agencies, with Standard & Poor’s and Moody’s assigning an A credit rating and A2 credit rating on its senior debt, respectively. Shares yield ~3.3%, and we continue to like exposure to this rock-solid dividend-paying REIT in the High Yield Dividend Newsletter portfolio.
Feb 21, 2021
Two High-Quality REITs Report Earnings: Crown Castle and Digital Realty
Image Shown: Crown Castle International Corp. forecasts that its core financial metrics will continue to grow in 2021. Image Source: Crown Castle International Corp. – Fourth Quarter of 2020 IR Earnings Presentation. To avoid many of the risks inherent when seeking out high-yielding income generating opportunities, we focus on locating firms with resilient business models that can churn out meaningful cash flows in almost any environment. Crown Castle and Digital Realty Trust are two high-quality REITs with nice yields and promising outlooks. We continue to like exposure to both CCI and DLR in the High Yield Dividend Newsletter portfolio.
Feb 8, 2021
Stock Market Outlook for 2021
2020 was one from the history books and a year that will live on in infamy. That said, we are excited for the future as global health authorities are steadily putting an end to the public health crisis created by COVID-19, aided by the quick discovery of safe and viable vaccines. Tech, fintech, and payment processing firms were all big winners in 2020, and we expect that to continue being the case in 2021. Digital advertising, cloud-computing, and e-commerce activities are set to continue dominating their respective fields. Cybersecurity demand is moving higher and the constant threats posed by both governments (usually nations that are hostile to Western interests) and non-state actors highlights how crucial these services are. Retailers with omni-channel selling capabilities are well-positioned to ride the global economic recovery upwards. Green energy firms will continue to grow at a brisk pace in 2021, though the oil & gas industry appears ready for a comeback. The adoption of 5G wireless technologies and smartphones will create immense growth opportunities for smartphone makers, semiconductor players and telecommunications giants. Video streaming services have become ubiquitous over the past decade with room to continue growing as households “cut the cord” and instead opt for several video streaming packages. We’re not too big of fans of old industrial names given their capital-intensive nature relative to capital-light technology or fintech, but there are select names that have appeal. Cryptocurrencies have taken the market by storm as we turn the calendar into 2021, but the traditional banking system remains healthy enough to withstand another shock should it be on the horizon. Our fair value estimate of the S&P 500 remains $3,530-$3,920, but we may still be on a roller coaster ride for the year. Here’s to a great 2021!
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The High Yield Dividend Newsletter, Best Ideas Newsletter, Dividend Growth Newsletter, Nelson Exclusive publication, and any reports, articles and content found on this website are for information purposes only and should not be considered a solicitation to buy or sell any security. The sources of the data used on this website are believed by Valuentum to be reliable, but the data’s accuracy, completeness or interpretation cannot be guaranteed. Valuentum is not responsible for any errors or omissions or for results obtained from the use of its newsletters, reports, commentary, or publications and accepts no liability for how readers may choose to utilize the content. Valuentum is not a money manager, is not a registered investment advisor and does not offer brokerage or investment banking services. Valuentum, its employees, and affiliates may have long, short or derivative positions in the stock or stocks mentioned on this site.