Real estate stocks: 3 you can buy if you’re a housing bull

  • Mid-America apartment communities (MA): Forecasting An impressive 13% growth in core funds from operations this year.
  • Industrial Stag (STAG): projects with a potential acquisition volume of $1.2 billion in 2022.
  • WP Cary (WPC): Management is driving AFFO growth per share of 4.2% year-over-year in 2022.

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Rising inflation, geopolitical tensions and rising interest rates have many analysts worried that stagflation is returning after nearly half a century. As a result, real estate stocks have become a safe haven for income investors.

Shortage of housing and recording selling prices Demand for fuel and boost flowing cash for real estate stocks. High returns, strong growth rates and strong profitability can create a tailwind for stocks in real estate investment trusts (REITs).

InvestorPlace.com Readers will remember that REITs outperformed the broad stock market in 2021 Standard & Poor’s 500 increased by 27%, While shares of RIT rose approximately 46%. despite of dip 5.6% YTD (YTD), the file Dow Jones All Stock Index ETFs Has risen 17.8% in the past 12 months.

Seasoned investors usually allocate a portion of their investment portfolio to real estate stocks as they pay big dividends and generate a reliable source of income. In addition, they serve as effective inflation hedges. cash flows derived from Rentals Often associated with the CPI (CPI) Through legally enforceable lease agreements.

With that information, here are three REITs to buy that promise generous returns for income investors in 2022:

MA Mid-America apartment communities USD 213.15
STAG STAG Industrial, Inc. USD 41.85
WPC WP Carey Inc. USD 86.08

Real Estate Equities: Central American Apartment Communities (MAA)

Modern European complex of apartment buildings.  Residential buildings
Source: Roman Babakin / Shutterstock

Our first real estate stock today is Mid-America apartment communities (New York Stock Exchange:MA), REIT Residential. Owns multi-family properties located primarily in the southeastern and southwestern United States

Flat chest mid-america Results for the fourth quarter (fourth quarter) 2021 On February 2, revenue increased 9.4% year-over-year to $464 million. Adjusted funds from operations (AFFO) per diluted share was $1.74 compared to $1.47 in the same period last year. Cash and cash equivalents ended the period at $1.1 billion.

2021 ended with an occupancy of around 96%. The average rent rise was about 10%, While Fourth-quarter net operating income increased 12.1%. Mid-America Apartment Communities boasts over a dollar850 million active projects under development, Which Management expects it to reach $1.2 billion this year.

MAA stock Estimate 34% over the past year. Long-term investors will be interested to know that the price is currently supporting a 2% dividend yield.

Meanwhile, shares are trading at 14.3 times sales. 12-month average price forecast for MAA stock It stands at $223.50.

Stag Industrial (STAG)

Inventory for purchase: Indoor warehouse with shelves, pallets and boxes d
Source: Don Pablo / Shutterstock.com

After that, we have Industrial Stag (New York Stock Exchange:STAG), which is a REIT focused on industrial real single tenant Real estate, such as warehouses, logistics and industrial property. E-commerce related real estate accounts for about 40% of the portfolio.

Stag Industrial chest Q4 نتائج results On February 16, revenue was up 13% year over year to $148 million. REIT Funds From Operations (FFO) grew 19% year over year. Basic FFO per diluted share increased 4% year over year to 51 cents. Cash and cash equivalents ended the year at $23 million.

Approximately 97% of Stag’s leasable space is currently occupied. This REIT is well diversified, with no single industry contributing more than 11% of STAG’s total revenue. Amazon.com (NASDAQ:AMZN) is Stag’s largest customer, yet it still represents only 3% of its total business.

Stock STAG increased 13% over the past year. Buy and hold investors can also enjoy an attractive dividend yield of 3.46%. Shares are trading at 11.7 times late sales and the 12-month average expected price for STAG stock he is at $47.

Real estate stock reading: WP Carey (WPC)

A group of colleagues discussing something in the office meeting room.
Source: GaudiLab / Shutterstock

Final real estate inventory today is WP Cary (New York Stock Exchange:WPC), a globally diversified net lease fund focused on commercial real estate, such as office, industrial, warehouse and retail space. This REIT . boasts interesting Real estate portfolio of $18 billion.

WP Carrie released Q4 نتائج results On February 11, revenue was up 22% year over year to $375 million. AFFO per diluted share was $1.30, up 8% year over year from $1.20 in the same period last year. Cash and cash equivalents ended the year at $165.4 million.

About 60% of leases have price increases contractually linked to the CPIprotection against high inflation. In addition, the average remaining lease term for its portfolio is more than ten years, providing additional security during economic downturns.

WPC stock 17 . rose% over the past year. Readers may be interested to know that REIT is set to become a dividend aristocrat in 2023. Share price It is currently generating a significant dividend yield of 4.93%.

stock trade At 11.4 times sales. Finally, the 12-month forecast average price of WPC stock It stands at $88.

At the date of publication, Tezcan Gecgil did not (directly or indirectly) hold any positions in the securities mentioned in this article. The opinions expressed in this article are those of the author, and are subject to InvestorPlace.com’s posting guidelines.

Tezcan Gecgil has worked in investment management for over two decades in the US and UK and in addition to formal higher education in the field, has also completed all three levels of the Certified Market Technician (CMT) exam. Her passion is options trading based on technical analysis of fundamentally strong companies. She particularly enjoys setting up weekly covered calls to generate income.

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