Low-Yielding REITs Leave Little Margin for Error
Data-center REITs enjoy some of the highest multiples on the market and thus offer yields of 3% and sometimes even less when other high-quality REITs in other sectors trade at higher yields. To achieve a good return from a low-yielding REIT, a lot has to go your way -- lease rates have to go up, interest rates have to stay put, and so on -- for you to eke out a solid rate of return.
In this episode of Industry Focus: Financials, join Michael Douglass and Jordan Wathen as they discuss why data-center REITs offer little margin of safety and aren't exactly immune from disruption themselves.
A full transcript follows the video.
Source: Fool.com
Equinix Inc. Stock
€714.60
0.420%
With 12 Buy predictions and only 1 Sell predictions the community sentiment for the stock is positive.
With a target price of 830 € there is a slightly positive potential of 16.15% for Equinix Inc. compared to the current price of 714.6 €.
