This article mentions the stock of Apple (NASDAQ:AAPL). The author's suggestion is not explicitly stated, but they express concerns about the low dividend yield, modest dividend growth, and potential overvaluation of Apple's stock. The author also discusses Apple's strong brand, the possibility of an acquisition of Disney's assets, and the headwinds and risks facing the company. The author suggests that a recession or market correction could lead to a potential price drop and provide a good entry point for investors. However, they also acknowledge the potential for the stock to continue trending upwards, especially during the holiday season.
The article mentions Iron Mountain Incorporated (NYSE:IRM) as the stock that the author believes has fortified their portfolio. The author's recommendation is to hold the stock.
The key information and data mentioned in the article about Iron Mountain Incorporated include the following:
- The company has lowered its leverage ratio over the past four years, indicating progress in repaying debt and becoming more competitive.
- Iron Mountain has frozen its quarterly dividend per share for the past four years but recently increased it by 5.1%.
- The company's adjusted funds from operations (AFFO) per share payout ratio has decreased from 81% in 2019 to 65.1% in 2022, and it is expected to be 63.4% in 2023, which is within the company's target payout ratio.
- Iron Mountain's total revenue increased by 5.3% year-over-year in the second quarter, with storage rental revenue growing at a double-digit rate.
- The company's AFFO per share increased by 1.1% in the second quarter, surpassing management's expectations.
- Risks to consider include the impact of a recession on rent collection and the competitive landscape in the data center industry.
- Two valuation models, the discounted cash flows (DCF) model and the dividend discount model (DDM), suggest that Iron Mountain's shares are trading slightly below fair value or at a premium, respectively.
The author suggests putting Iron Mountain Incorporated on the watchlist and rates the stock as a hold until it dips below $60 again.
The article mentions Macy's (NYSE:M) stock. The author's suggestion is to buy Macy's stock, as they believe it is undervalued and has the potential for growth in the future.
The author's core argument is that Macy's stock is cheap based on conventional valuation metrics and that the company's real estate assets hold significant value. They believe that even if Macy's fails to turn its business around, investors can still achieve strong returns through the monetization of its real estate. The author also highlights Macy's solid profitability and cash flow generation.
Key information and data mentioned in the article include Macy's stock falling more than 50% since the beginning of 2022, the challenges the company faces due to inflation and credit card delinquencies, Macy's projected decline in adjusted EPS for fiscal 2023, the company's reduced debt and strengthened balance sheet, the value of Macy's real estate portfolio, and the risks associated with the company's financials and real estate values.
W. P. Carey Inc. has announced plans to spin off 59 office properties into a separate publicly-traded REIT called Net Lease Office Properties (NLOP) and implement an asset sale program to dispose of the remaining 87 office properties by January 2024. These strategic moves are expected to enhance W. P. Carey's growth profile, improve its earnings and cash flows, and increase its overall portfolio quality.
Real estate investment trust W. P. Carey Inc. plans to spin-off its office properties and "reset" the dividend to a lower level, damaging its dividend growth track record but still offering a attractive dividend yield and potential for improved growth in the future.
Berkshire Hathaway CEO Warren Buffett owns a sizable stake in Microsoft through a secret portfolio, and several factors suggest that investing in Microsoft stock now could be a good choice, including its broad customer base, rock-solid balance sheet, growing dividend, and its positioning in the artificial intelligence market.
