Q: Hello Can i get your Opinion of AP.UN Buy Sell or Hold and why Please
5i Research Answer:
AP.UN is very cheap at 7X cash flow, but there is essentially no growth here and still lots of risk in the office property market. Cash flow per unit missed estimates in the Q3 and estimates have been declining. Payout ratio is at 100% and most investors and analysts expect a distribution cut at some point. We do not think it needs to be owned.