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.
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.
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