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  • Cole Credit Property Trust: The Best Advice I Can Offer Is To Ignore The REIT-Land Bully  [View article]
    Brad, where do you get this information from:

    "We all know that ARCP has not had sufficient dividend coverage (since inception). Even after their recent acquisition of ARCT3, the company has had marginal coverage. In fact, in 2013, ARCP is not projected to cover its distribution and even after the acquisition of ARCT3, with an estimated dividend at $0.93, ARCP's AFFO (adjusted funds from operations) payout ratio is 105%."

    In addition, why haven't you reviewed the most recent ARCP offer that talked about the fact that they would pay up to 60% of purchase price by cash:
    Apr 8, 2013. 03:27 PM | Likes Like |Link to Comment
  • Cole Credit Property Trust: The Best Advice I Can Offer Is To Ignore The REIT-Land Bully  [View article]
    But didn't ARCP mention that if the purchased Cole, they will pay 20% - 40% of purchase price with cash?

    I realize that the stock part is confusing ( 0.80 shares of ARCP are not worth $13.59), but you also have to put into consideration that 20% - 40% of total amount paid for Cole will be in cash.

    In addition, how much FFO will Cole earn in 2013/2014?
    Apr 8, 2013. 09:51 AM | 2 Likes Like |Link to Comment
  • National Grid's Disappointing New Dividend Policy  [View article]
    National Grid actually cut dividends in 2011:
    Apr 5, 2013. 11:34 AM | Likes Like |Link to Comment
  • Invest With Carl Icahn And Collect A 7% Yield  [View article]
    Hmm, why hasn't the author "invested with Carl Icahn"?

    It is because:

    1) Carl Icahn owns 85-90% of the partnership

    2) The dividend payment has been erratic

    Great article to lure in eyeballs for SA, but completely worthless advice that is potentially dangerous to investors.
    Apr 2, 2013. 05:57 PM | 1 Like Like |Link to Comment
  • International Diversification: Closer Than You Think  [View article]
    I also prefer to invest in US companies doing business internationally. Good article
    Apr 2, 2013. 05:51 PM | 2 Likes Like |Link to Comment
  • Johnson & Johnson Is Not As Expensive As You Think  [View article]
    Hmm I already saw an article about this JNJ P/E issue a few months ago..
    Apr 2, 2013. 05:49 PM | Likes Like |Link to Comment
  • My Upcoming 'Swing For The Fence' Investment  [View article]
    I love Visa ( I think a lot of dividend investors ignore the stock simply because it has a low yield. Most dividend investors who just focus on yield are "the pigs that usually get slaughtered". Of course there are always the smart ones who also do detailed research - hats off to those few ones that do this.

    Visa has a lot going for it, and I can easily see it (and MA too) dominating the world as the amount of cashless payments increases.

    However, what are the risks behind V and MA? Do you think that the company operating in many different countries with different currency regulations exposes it to a lot of risk? I always like to take a balanced view of an investment, before jumping in, and thought that rewards outweigh the risks so I am long V.. Just wanted to see everyone else's take on that (and Tim's too).
    Apr 2, 2013. 05:46 PM | 2 Likes Like |Link to Comment
  • The 4% Rule Is Dependent On Dividends  [View article]
    Actually, Buffett is against Berkshire Hathaway paying dividends to its shareholders. He likes dividends paid from investments like Coca Cola, Wells Fargo, Burlington Northern etc. It gives him cash to allocate.

    Check these articles on the subject:


    Please make sure to always do your independent thinking, before making any investment decisions.
    Apr 2, 2013. 05:39 PM | 4 Likes Like |Link to Comment
  • American Realty Capital Properties Gets Too Ambitious  [View article]
    Ok so there are 492 million CCPT3 shares. They earn FFO of 0.80/share for a total of $393.6 million.

    ARCP buys 20% of CCPT3 shares for cash at $12.50/share. That is 98.4 million shares times 12.50/share = $1.23 billion. At 4% interest, this equals $49.2 million in annual interest cost

    ARCP buys the remaining CCPT3 shares for stock. Now they say they will pay 0.80 shares of ARCP stock or at least $13.59 "in value". So the remaining 393.6 million shares of CCPT3 at $13.59/share nets out to $5.35 billion, which at $14.50/share for ARCP stock is equivalent to 368.90 million ARCP shares. The annual dividend is 93 cents/share for a total of $343 million. So the total annual cash outflow is $343+49.2 =$392.2 million dollars for an annual FFO stream of $393.6 million. It looks like acquiring CCPT3, can take care of itself even after issuing the shares.

    I do not know how many ARCP shares existed on March 27, 2013, but if anyone has this number, it could be helpful in the analysis of whether it is accretive or not.
    Mar 29, 2013. 05:11 PM | Likes Like |Link to Comment
  • American Realty Capital Properties Gets Too Ambitious  [View article]
    The way I am looking at it, ARCP will pay a portion of the total price in shares, and the other portion of the total price for CCPT3 in cash.

    So if 80% of the TOTAL for CCPT3 is paid in ARCP stock and the remainder is paid out in cash, how do we stand on the accretion part?
    Mar 29, 2013. 04:42 PM | Likes Like |Link to Comment
  • How To Pick REIT Stocks Like Trump And Think Like Graham  [View article]
    Wait, that is what Buffett says all the time. Is that who your next picture with on SA is going to be?
    Mar 29, 2013. 10:12 AM | Likes Like |Link to Comment
  • Spring Cleaning My Income Portfolio, Part II  [View article]
    You cannot analyze REITs by looking at EPS. This is not a conspiracy theory, it is a widely accepted fact. If you want to keep your head in the sand, that is your choice. But please do not come screaming out that DLR is facing headwinds..
    Mar 29, 2013. 10:08 AM | 2 Likes Like |Link to Comment
  • How To Invest When The Market Is At All Time Highs  [View article]
    It looks like only 43% of investments are in Japan. The rest are globally invested.

    It beats me why the stock is cheap - probably investors believed it had a high exposure to Europe in its investments. Then exposure to Japan after fukushima. But if its liabilities are in depreciating Japanese Yen, and just half of the assets are in Yen, then maybe they should benefit from it?
    Mar 29, 2013. 10:06 AM | Likes Like |Link to Comment
  • Pandora Will Never Be Profitable  [View article]
    So, how do royalties compare between the likes of P, Spotify, Sirius, Youtube, Yahoo Music and FM radios?
    Mar 29, 2013. 09:55 AM | Likes Like |Link to Comment
  • Pandora Will Never Be Profitable  [View article]
    Great article. It looks like Pandora cannot really survive for long without negotiating royalties that would allow it to make at least some money.

    Do you think that someone would be interested in acquiring a company like Pandora in the future?
    Mar 28, 2013. 10:09 AM | 1 Like Like |Link to Comment