As if political narratives were not creating enough unjust downward pressure on the price of this “healthcare” REIT (The Geo Group), Covid has intensified the pressure, and the shares are simply trading too low due to fear. Further, the fear has increased volatility which has led to very high upfront income opportunities in the options market. We review a specific trade that we believe is attractive today (and potentially into early next week), as long as the underlying stock price doesn’t move too dramatically before then.
Attractive 13% Yield REIT: Unfairly Punished by Mr. Market
Mr. Market was already unfairly punishing this big-dividend REIT, but the recent market wide turmoil has made the price absurdly low and attractive. In this report, we analyze the company’s income profile, growth, dividend prospects and political risks. We conclude with our opinion on whether this big yielder is worth considering for a spot in your prudently-diversified, long-term, income-focused investment portfolio.