Citicore Renewable Energy REIT [CREIT 2.89 ?0.7%; 44% avgVol] [link] declared a Q2/24 dividend of P0.049/share, payable on October 4 to shareholders of record as of September 10. The dividend maintains CREIT’s annualized yield of 6.78% based on the previous closing price. The total amount of the dividend is P321 million, which is 107% of the P300 million in distributable income that CREIT reported for the quarter. Relative to CREIT’s IPO price, the dividend increased CREIT’s total stock and dividend return to 33.53%, up from its pre-dividend total return of 31.61%. CREIT’s stock price is up 12.9% year-to-date. It has a TTM yield of 6.96%, and an estimated yield of 6.78%.
MB BOTTOM-LINE: CREIT doesn’t always get the credit that it deserves for its stability and performance. PREIT’s odd performance aside (it’s up 11.8% since its December 2022 IPO), CREIT has been the top performer (+7.0%) in the REIT space since the onset of the inflationary plague that knee-capped even top-shelf REITs like AREIT (down 22.1%) and RCR (down 25.0%), and contributed to the declines in some of the bottom-shelf REITs like DDMPR (down 42.4%) and FILRT (down 58.2%). CREIT is immune to the POGO Problem (it doesn’t lease commercial office space), always has 100% occupancy, and has the best-developed asset injection ecosystem of anything on the market right now. Sure, something like AREIT has a deeper stable of potential injections, but nobody has a longer, more detailed plan than that which exists between CREIT and its parent, Citicore Renewable Energy [CREC 2.98 ?2.4%; 49% avgVol]. The pair have delivered multiple injections already, and (re)revealed their long-term roadmap through CREC’s prospectus. Does the distribution ratio look odd? You bet. But I’m working on an in-depth explainer with CREIT right now that I hope to publish in the coming days, so stay tuned!
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