Raina Brown

Extra Space (EXR) holds 12% of its total properties in the form of joint ventures and 32% managed for third parties—the largest in the industry.

In 2017, Healthcare Trust of America (HTA) had total leverage of 29.9%.

Extra Space’s (EXR) stock price has risen from $12.77 in 2008 to $83.80 in January 2018. EXR has returned 705.4% in the past ten years.

Goldman Sachs’s (GS) Institutional Client Services is comprised of FICC and equities. Net revenues were $3.1 billion in 3Q17, a 2% rise from 2Q17.

EQR announced a quarterly dividend of $0.50. The current dividend yield stands at 3.2%, and it has a payout ratio of 135.2% for 3Q17.

Analysts gave HCP a mean price target of $26.59, implying a significant ~17.0% rise from its current level of $22.68.

HCP has a $2.0 billion credit facility with maturity in 2021, and the majority of its debt matures after 2019.

HCP has indicated that the recently enacted Tax Cut and Jobs Act could materially and adversely affect the company and its stockholders.

In 4Q17, HCP recorded an $84.0 million impairment on the debt investment and reduced the value to $105.0 million.

According to the National Bureau of Economic Data, the first wave of Baby Boomers are expected to turn 75 in 2020.

Rental revenues for HCP increased ~3.0% from $392.0 million in 2016 to $400.0 million in 2017.

Life Science is an 8.0 million square foot portfolio and represents ~25.0% of HCP’s NOI.

Analysts gave HTA a mean price target of $33.38, implying a significant ~26.0% rise from its current level of $26.30.

For 2017, HCP’s funds from operation stood at $1.95 per share, and its same-store cash NOI growth was 3.4%.

HTA has earnings per share of $0.33 and a PE (price-to-earnings) ratio of ~111.0x.

HCP Inc. has a diversified senior housing portfolio, which has a balanced mix of triple net and SHOP (senior housing operating portfolio).

HTA paid dividends of $1.17 in 2015, $1.19 in 2016, and $1.21 in 2017.

HTA has 3.4% combined pro forma same-store NOI growth, and its development assets are currently 86.0% pre-leased.

Healthcare Trust of America (HTA) completed investments of $2.7 billion in 2017, and 90% of these properties are in key strategic markets.

In 2015, US healthcare spending grew 5.8%, and health spending accounted for 17.8% of the nation’s GDP.

Healthcare Trust of America (HTA) has centers in more than 20 key markets in the US, covering 24 million square feet.

Goldman Sachs (GS) stock has risen 15.4% over the past six months and 5.4% over the past year.

Net revenues for Goldman Sachs’s (GS) investment management segment were $6.2 billion, a 7% rise year-over-year.

Goldman Sachs’s (GS) investing and lending segment produced revenues of $1.7 billion in 4Q17, a 12% rise from 4Q16 and 12% lower than 3Q16.

Goldman Sachs’s (GS) equity net revenues were $1.4 billion in 4Q17, an 18% fall sequentially.

Goldman Sachs’s (GS) net revenues in its ICS (Institutional Client Services) segment fell 24% to $2.4 billion compared to 3Q17.

Goldman Sachs’s (GS) investment banking division produced revenues of $2.1 billion, a 19% rise over 3Q17.

Evercore (EVR) has been very committed to rewarding its shareholders in the form of dividends as well as buybacks.

Evercore generated 25% of its fees from its technology, media, and telecom sector, 20% from its energy sector, and 17% from its financials sector in 4Q17.

Evercore’s (EVR) investment management revenue in 4Q17 fell 26% to $13.2 million compared to $18 million in 4Q16.

Evercore’s (EVR) investment banking segment reported net revenues of $518.8 million in 4Q17 compared to $427.4 million in 3Q16.

Evercore’s (EVR) revenues were $540 million in 4Q17, or 21% higher than 4Q16. Revenues of $1.7 billion for 2017 was 18% higher than 2016.

Analysts gave USB a mean price target of $59.5, implying a ~9% rise from its current level of $54.80.

Bancorp’s (USB) stock has risen 3.2% over the past six months and 3.0% over the past year.

Average loans rose in 4Q17 by $925 million on account of increased merger and acquisition activity and stronger customer relationships.

Bancorp’s (USB) provision for credit losses for 4Q17 was $335 million, which was lower by $25 million or 6.9% over 3Q17.

Raymond James Financial (RJF) generated a return of 4.8% in the last three months and 17.6% in the last year.

Analysts covering Raymond James Financials (RJF) have given RJF a mean price target of $109.14, implying a 15.7% rise from its current level of $94.30.

Analyst ratings Crown Castle’s (CCI) 2018 performance expectations have been reflected in its analyst ratings. Of the 21 analysts covering the stock in January 2018, 13 have recommended “buy” or “strong buy” (as was the case in December 2017), and eight have recommended “hold.” Analysts have given Crown Castle a mean price target of $116.89, implying a […]

Bancorp (USB) reported net income of $1,682 million for 4Q17 in comparison to $1,478 million in 4Q16, a 13.8% increase.

Raymond James Financial (RJF) announced a dividend of $0.25 per share for 1Q18 from $0.22 in 3Q16. The dividend yield stands at 1.1%.

Peer comparison In 4Q17, Crown Castle (CCI) had FFO[1.funds from operations] per share of $1.25, and in 2018, it’s expected to see FFO per share of $5.23 due to its acquisition of Lightower. The company is expected to grow 7.8% in 2018, 11.4% in 2019, and at a five-year rate of 15.5%. Trading slightly lower rate than the industry […]

Funds from operation (or FFO) for Ventas (VTR) for 3Q17 stood at $1.04 per share.

Raymond James Financial’s (RJF) non-interest expenses increased 10% on a YoY (year-over-year) basis to $1.4 billion.

Crown Castle’s dividend policy In 4Q17, Crown Castle (CCI) announced a dividend of $0.95 per share, bringing its 2017 dividend to $3.89, compared with $3.60 in 2016. It paid a dividend of $3.34 in 2015. Its dividend yield is currently 3.8%, and its three-year dividend growth rate is 27.8%. The company achieved its long-term annual dividend growth target of […]

The recent increase in interest rates has impacted the performance of VTR.

Raymond James Financial’s (RJF) Private Client Group reported fiscal 1Q18 revenues of $1.2 billion, a 19% rise over fiscal 1Q17 and a 5% rise over 4Q17.

Ventas (VTR) has a strong flexible balance sheet and excellent liquidity.

Raymond James Financial’s (RJF) fiscal 1Q18 net revenues of $216.7 million were 7% lower than 1Q17 and 18% lower than 4Q17.

Major customers Crown Castle’s (CCI) customer base comprises wireless carriers operating in national networks and carriers renting small cell networks, including those of healthcare, education, and government organizations. Crown Castle’s key strategy is to acquire large tower clusters and leverage its relationships with carriers in US markets. Of its fiscal 2017 revenue, it derived 22% from AT&T (T), […]

Crown Castle (CCI) has increased its site rental revenue estimate for 2018 by $36 million to $4.6 billion, representing a 26% YoY (year-over-year) gain.

Analysts gave EXR a mean price target of $87.93, implying an ~1.5% rise from its current level of $86.72. It has a market capitalization of ~$10.9 billion.

EXR’s FFO per share for 2017 is expected to be $4.32–$4.65.

EXR increased its fixed debt ratio to 80.0% in 3Q17 from 76.1% in 2Q17.

EXR’s occupancy rate in 2Q17 was 94.5% compared to 94.1% in 2Q16.

Of the analysts surveyed by Reuters, ~55% have rated Morgan Stanley (MS) a “buy.”

Morgan Stanley’s Investment Management segment reported pretax income of $80 million in 4Q17 compared to $28 million in 4Q16.

Morgan Stanley’s (MS) Wealth Management segment reported pretax income of $1.2 billion in 4Q17 compared to $891 million in 4Q16.

Equinix’s 3Q17 funds from operations stood at $4.97 per share. Its expected FFO was $4.11 for a surprise of ~20.9%.

Morgan Stanley’s Institutional Securities segment reported pretax revenue of $1.2 billion in 4Q17 compared to $1.3 billion in 4Q16.

Morgan Stanley (MS) has reported a one-time net discrete tax provision of $990 million.

Morgan Stanley (MS) announced its 4Q17 earnings on January 18, 2018. Its adjusted EPS (earnings per share) were $0.84, and its revenue was $9.5 billion.

Equinix (EQIX) announced a dividend of $2.00 per share for 3Q17, leading to a total of $8.00 for 2017 and up from $7.00 in 2016.

Equinix (EQIX) had capex of $320.0 million in 3Q17, which included recurring capex of $45.0 million.

Equinix generated an ~30.0% yield on gross property, plant, and equipment on stabilized assets. It generated a ten-year shareholder return of ~18.0%.

Equinix’s 3Q17 revenues in the Americas rose 12% quarter-over-quarter and 40% year-over-year on an as-reported basis.

Welltower (HCN) announced a dividend of $0.87 per share for 3Q17 from the previous guidance $0.86 in 3Q16. The dividend yield stands at ~5.6%.

As of January 2018, 21 of the 22 analysts covering American Tower stock have given it a “buy” or “strong buy” rating. The remaining analyst gave it a “hold” rating.

Welltower (HCN) has kept its balance sheet in good shape. It has a cash balance of $236 million and $2.6 billion in credit line availability.

Welltower (HCN) increased its SSNOI (same-store net operating income) to 2.5%–3% from 2.25%–3%. This slight increase is due to strong seniors’ housing operating performance.

American Tower (AMT) deployed $600 million of capital in 3Q17, bringing its year-to-date amount to $3.6 billion.

During 3Q17, American Tower (AMT) strengthened its revenues on higher organic growth in domestic and international markets such as India and Mexico.

Mexico is one of American Tower’s (AMT) vital international markets. AMT has entered into an agreement to acquire certain telecommunication assets in Mexico.

Data usage is increasing in international markets due to smartphone penetration.

American Tower (AMT) has increased its 2017 revenue outlook to $6.55 billion from $6.53 billion, an addition of $15 million and a 0.2% increase.

Analysts gave EQR a mean price target of $69.08, implying a ~8.3% rise from its current level of $63.77.

EQR reported higher revenues backed by strong growth in rental income.

Since REITs are required to pay 90% of their income as dividends, the tax cuts might reduce their advantage in comparison to other corporations.

Equity Residential (EQR) has properties in Southern California, San Francisco, New York, Washington DC, Boston, and Seattle.

Analysts have given Goldman Sachs (GS) a mean price target of $258.40, implying a ~0.26% rise from its current level of $257.70.

Goldman Sachs (GS) reported revenue of $8.3 billion in 3Q17, the highest in the last seven quarters, beating analysts’ estimate by 10.4%.

For 3Q17, GS’s non-compensation expenses were $2.2 billion, a 2% rise from 2Q17 and a 4% rise from 3Q16.

Goldman Sachs’s (GS) Investment Management segment reported 3Q17 net revenues of $1.5 billion, which was flat compared to 2Q17 but 2% higher than 3Q16.

Goldman Sachs’s (GS) Investment Banking segment generated revenues of $1.8 billion in 3Q17, which was a 4% rise compared to 2Q17.

Goldman Sachs (GS) has identified $5 billion of growth initiatives. If successfully implemented, it will add an additional $2.5 billion in annual pre-tax earnings.

Analysts gave SPG a mean price target of $188.10, implying an ~16.0% rise from its current level of $162.26.

A higher price-to-FFO multiple for Simon Property means that it has the capacity to give a predictable return as well as consistent dividend yields to investors.

During 2016, SPG repurchased 1,409,197 shares at an average price of $181.14 per share.

As of 3Q17, Simon Property Group had liquidity of more than $6.5 billion of cash on hand, which includes cash from its joint ventures and revolving credit facilities.

Simon Property Group’s capital expenditure increased ~15.0% in 2Q17 while it decreased ~1.2% in 3Q17.

Simon Property Group (SPG) is expected to pay a dividend of $7.15 per share in 2017, an increase of 10.0%. Its portfolio valuation rose 3.9% for 3Q17 on a year-over-year basis.