Buy Corporate Office Properties Trust To Benefit From War And Inflation (Archive)

Defense-focused office REIT poised to benefit from inflation, rate immunity, and rising military spend.

Buy Corporate Office Properties Trust To Benefit From War And Inflation (Archive)

This 5-Minute Pitch was originally published on Seeking Alpha before the launch of the Hunting Alphas website. It is shared here to showcase my previous work and track record. New 5-Minute Pitches published on this site will not be disseminated anywhere else.

Elevator Pitch

  • REITs as an asset class do well in times of inflation. Corporate Office Properties Trust has also immunized itself from interest rate hikes.
  • The company has been reorienting its portfolio towards the niche defense segment over the past 10 years. Now it is ready to benefit from this mix shift.
  • Increased defense spending and an 8.7% expansion in the development pipeline is expected to boost growth.
  • Valuation multiples are puzzlingly at decade lows. A re-rating on FY23 consensus implies a 21.5% upside in the stock.
  • Technical analysis also shows 11.6% upside potential, especially relative to S&P 500.

Read the full article here.

Disclosures and Disclaimers

Past performance ≠ future results. Not investment advice. See full Disclaimer.