Rexford Industrial: A Great Bargain With Up To 6.4% Yield

Summary

  • Rexford Industrial offers a compelling blend of income and growth, driven by its unique focus on the high-barrier Southern California market.
  • REXR demonstrates strong operational performance with high NOI growth and lease spreads, and a well-covered dividend.
  • The stock is attractively valued below its historical average, with analysts expecting 10-14% annual FFO growth.
  • Conservative investors might consider the Preferred Series C Stock, yielding 6.4%, trading at a discount, and offering a safer dividend than common shares.
  • Looking for a portfolio of ideas like this one? Members of iREIT®+HOYA Capital get exclusive access to our subscriber-only portfolios. Learn More »
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ISerg

Many REITs remain bargains despite the recent uptick in price in anticipation of a rate cut in September. That’s likely because the market is still latched onto high-flying growth stocks that pay investors little to no yield for holding on to

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This article was written by

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I am Gen Alpha. I have more than 14 years of investment experience, and an MBA in Finance. I focus on stocks that are more defensive in nature, with a medium- to long-term horizon.

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Analyst’s Disclosure:I/we have a beneficial long position in the shares of REXR either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

I am not an investment advisor. This article is for informational purposes and does not constitute as financial advice. Readers are encouraged and expected to perform due diligence and draw their own conclusions prior to making any investment decisions.

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