Sector: Real Estate
Crown Castle International (CCI) is scheduled to announce its second-quarter earnings results on Wednesday after the market closes.
On Thursday, Innovative Industrial Properties (IIPR) announced that it will issue approximately 1.3 million common shares to the public.
REITs have gained popularity as an investment option owing to their high dividend yields and staggering return potential. Hopes for interest rate cuts this year by the Fed have made REITs quite a deal.
Yesterday, HEXO (HEXO) ended the day about 4.5% lower after Oppenheimer cut the company’s ratings to “perform” from its previous “outperform” rating. HEXO was one of the best performers among the Canadian cannabis companies with a YTD return of 53%, which is still impressive when compared with Tilray (TLRY), which is in the negative territory YTD.
Innovative Industrial Properties (IIPR) has seen some of the strongest momentum in June. The stock has gained almost 54%. On June 25, the stock rose 5.9%.
As of June 21, Aurora Cannabis was trading at 13.9x. Over this period, the peer median was also trading lower at 5.8x, which was almost 9.5% lower than our previous update. Thus, Aurora Cannabis has been pretty resilient compared to its peers.
The forward EV-to-EBITDA (enterprise value to earnings before interest, tax, depreciation, and amortization) of the peer median stood at 18.5x as of May 22.
The overall cannabis sector was off to a weak start this week.
The cannabis sector is largely mixed today.