CALL INVITE
We are very excited to be rolling out active coverage of the Industrial/Logistics REIT subsector and we hope you can join us on Monday, July 12th at 12:30pm ET for the call and presentation. We will follow up with a link for REIT subscribers to event details and materials when posted. We will open the call by reviewing the macro backdrop and high-level thoughts for the sector, and then spend the bulk of the call focusing on new Best Idea Long Iron Mountain Inc. (IRM). IRM is unique within the REIT sector on several fronts, so we will break down the company’s component parts, explore the intermediate- & long-term growth trajectory, and focus on catalysts including a potential unwind of a ~16% short interest ahead of Quad 3/4. Finally we will end with some thoughts on Prologis (PLD), which we have on our Long Bias list, and want to dig in as it is by far the most important name in the sector and deserves a thorough sum-of-the-parts (SOTP) analysis.
KEY PRESENTATION TOPICS
- Introduction
- Position Monitor review
- Macro
- Long IRM
- Overall thesis
- Legacy records management business and growth
- Data center business
- IRM’s short interest and the Bear thesis
- Rent & dividend coverage
- “Project Summit”
- Core FFO earnings trajectory
- SOTP Valuation
- IRR analysis on the stock
- Appendix:
- Company overview
- Earnings model
- PLD SOTP
- Q&A
Figure 1: Updated Position Monitor
Please call or e-mail with any questions.
Rob Simone, CFA
Managing Director
Twitter: @HedgeyeREITs
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