Q: Hi 5i, pls provide your insight and guidance from DIR's quarter...Thx
5i Research Answer:
In the Q2-2023, DIR.UN’s FFO per unit grew 14% compared to the same period last year to $0.25 per share. In addition, NAV grew 20% to $16.97 per unit compared to $16.64 last year, DIR.UN is trading at a wide discount to NAV. DIR.UN’s portfolio focuses on high-quality industrial properties. As a result, the occupancy level is consistent over the years, with the occupancy rate slightly down to 97.6% compared to last year of 98.6%, which indicates the stickiness in the company’s portfolio. DIR.UN has a track record of acquiring and managing properties to increase cash flow per unit, and generate consistent FFO per unit growth, also trading at a discount to NAV is an attractive valuation. We would be quite comfortable holding this name.