The Daily REITBeat | Tuesday, December 10th, 2024

"Market Concerns"

Good Morning!

Futures mixed and 10-year treasury trading around 4.23% at the time of this writing as talking heads await tomorrow’s CPI report with Oracle and Nvidia receiving a lot of attention.

From Bloomberg

"US stock futures pointed to a steady open for Wall Street, as traders waited to see if a key inflation report will reinforce expectations of an interest-rate cut this month from the Federal Reserve.
Contracts on the S&P 500 and Nasdaq 100 inched up about 0.1%. Software maker Oracle Corp. was a key premarket mover, sliding as much as 8.8% after quarterly results underwhelmed. Nvidia Corp. looked set to extend losses following news that China is probing the AI chipmaker over alleged anti-monopoly violations. US-listed Chinese shares also slipped, ceding gains notched the previous day after Beijing pledged to loosen monetary policy.
Uncertainty on whether China will follow up on its stimulus pledges weighed on Europe’s Stoxx 600 index, which is set to snap an eight-day winning streak. Other market concerns include the renewed upheaval in the Middle East and the possibility that sticky inflation could persuade the Fed to pause its rate-cutting cycle this month.
Wednesday’s consumer price index print in the US will be the final major price reading before the Fed’s policy meeting next week. Any indication that progress has stalled on the inflation front could well undercut the chances of a third straight reduction in rates. Bloomberg’s Dollar Spot Index and Treasury yields edged higher. "

In REIT News

JPM upgrades SLG to Neutral from Underweight (raise price target by $29 to $80)
Wells Fargo downgrades CCI to Underweight from Equalweight (lower price target by $5 to $100)
Yesterday, Morningstar upgraded WELL to Hold from Sell (maintain $123 price target)
VICI priced $750 million of 5.125% senior unsecured notes due 2031 on behalf of its limited partnership and intends to use the net proceeds to repay its outstanding $750.0 million in aggregate principal amount of 2025 Notes with any remaining net proceeds will be used for general corporate purposes, which may include the acquisition and improvement of properties, capital expenditures, working capital and the repayment or refinancing of indebtedness
DOC announced that its operating partnership has amended and extended its $3 billion revolving credit facility as well as made conforming amendments to its outstanding term loans in connection with the Credit Facility which will initially mature in January 2029 and can be extended pursuant to two six-month extension options, subject to certain conditions and based on its current credit ratings, the Credit Facility bears interest at a rate per annum equal to SOFR plus 77.5 basis points and carries a facility fee on the entire revolving commitment of 15 basis points per annum
Yesterday morning, LTC announced that Wendy Simpson has been appointed Executive Chairman of Board of Directors, Pam Kessler and Clint Malin have been promoted to Co-Chief Executive Officers, and Cece Chikhale has been promoted to Chief Financial Officer as the appointments are part of the Company’s succession plan and are effective December 31, 2024
Yesterday morning, ARE announced that its Board of Directors authorized a $500 million common stock repurchase program until December 31, 2025

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David Auerbach & Mary Jensen

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David Auerbach
dauerbach@irrealized.com
214.492.3777

David Auerbach boasts over two decades of experience in the securities industry, specializing as an institutional trader with a focus on Real Estate Investment Trusts (REITs), Equity and Preferred stocks, MLPs, ETFs, and Closed End Funds.

Based in Dallas, TX throughout his entire career, David currently serves as the Chief Investment Officer for Hoya Capital, managing the Hoya Housing 100 ETF (Ticker: HOMZ) and The High Yield Dividend ETF (Ticker: RIET).

Previously, David held the position of Managing Director at Armada ETF Advisors, the sub-advisor for the Residential REIT ETF (Ticker: HAUS) and The Private Real Estate Strategy via Liquid REITs ETF (Ticker: PRVT). Additionally, he acts as a consultant with IRRealized, LLC, focusing on corporate access in the REIT industry.

David's industry journey includes roles at World Equity Group, Esposito Securities, and Green Street Advisors where he got his start in the REIT industry. At Esposito Securities, he played a crucial role in building the REIT/Real Estate platform and worked extensively with institutional investors, Equity REITs, and ETF issuers.

Throughout his career, David has been quoted by reputable publications such as Bloomberg, WSJ, Financial Times, REIT.com, and GlobeSt.com. He has also made notable appearances as a featured guest on networks like Yahoo Finance, TD Ameritrade, and Bloomberg.

David holds a BBA in Finance from the University of Texas at Austin (May 1999) and an MBA in Finance from Southern Methodist University (May 2005). He maintains FINRA Series 7, 24, 55, and 63 registrations.

In his leisure time, David is an avid traveler, often found crisscrossing the country in pursuit of attending as many Phish concerts as possible.

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