1Año
••
@Anar why did it drop all this time? What period are you talking about, 5 months? Since 2018, $DEF is up 93% and that's not including dividends. The stock price is a composite of what the market is willing to pay for it. There are also macroeconomic trends that automatically cause almost all stocks to depreciate (interest rate rises, recessions, etc). I also explicitly mentioned in the article that it is precisely rising interest rates that punish all real estate companies. $DKG is a different story. Here I also never claimed that everything is fine. However, they are also down 40% since 2018.
••
1Año
@RealMichaelScott Yes, from 2023. I don't see any challenge of macroeconomic conditions for $DEF's customers. Are there any Lidl or Aldi stores that have closed... instead they have increased their staying power in existing markets. And that should actually have "impact" on $DEF 's business. So what didn't go well?
••
@Anar It's not about the tenants either, it's about the rise in interest rates. This means higher refinancing costs, i.e. more costs for loans. Since the business model relies on loans, there is a general concern that profit margins will fall. I also wrote in the article that Defama has inflation-hedged leases, which means they will also have significantly higher revenues. But since revenues are not known every second, the market assumes, as with all real estate groups, that they will have a smaller margin than before. As a long-term investor, I don't really care what has happened in the last 5 months. On the contrary, I think it's even good so that I can get a good entry price.
••
1Año
@RealMichaelScott Could it be related to the real estate investments or such plans of the clients of $DEF?
••
@Anar rather with the real estate investments. Loans are simply becoming more expensive.
••
1Año
@RealMichaelScott I have read about the plans of large corporations to invest in real estate. IMO that they will reduce loans to reduce costs. sales will be reduced in almost all sectors except metal/weapons. Then the balance sheet can become more attractive, right?
••