Earnings and occupancy are up for this REIT. The shares have a current annual dividend of 5.87%, paid quarterly.
Kimco Realty Corporation (KIM)
From The Prudent Speculator
Real estate investment trust Kimco Realty Corporation (KIM) has interests in 409 U.S. open-air shopping centers, comprising 72.4 million square feet of leasable space concentrated mostly in
major metropolitan markets and housing a diversified stable of tenants.
After a fantastic 2019 for KIM shares, 2020 is off to a lousy start, even as the company posted Q4 adjusted funds from operations (FFO) of $0.37, versus forecasts of $0.36, while occupancy rates ended 2019 at a record-high 96.4%, with anchor store occupancy at 98.9% and small shop occupancy of 89.3%. The period saw same store net operating income grow 2.7% year-over-year as new and renewing rents increased.
Management said it expects full-year 2020 FFO to be between $1.46 and $1.50 per share. We are positive on KIM’s continued transformation and rejuvenation as the company finished 2019
with a stronger balance sheet, a higher quality portfolio of assets and a pipeline of development and redevelopment that can produce attractive long-term growth.
While the retail environment isn’t without headwinds, we like management’s focus on better markets with higher barriers to entry.
John Buckingham, The Prudent Speculator, www.theprudentspeculator.com, 877-817-4394, February 3, 2020