An Identifiable Inflection Point For REITs

We have traded, analyzed and watched REITs every day for decades (13 years personally and over 30 years for 2nd Market Capital) and in so doing we have noticed a consistent source of mispricing: Dividend cut announcements. Specifically, dividend cuts consistently have the same reaction in the market regardless of the circumstances around them. The REIT share price plummets on the news. The source of opportunity here is that not all cuts are equally bad. There is a huge gap between the following: Forced to ...