Volatile stock to watch: Apartment Investment and Management Co (NYSE: AIV)

Free $100 Forex No-Deposit Bonus

Apartment Investment and Management Co (NYSE: AIV) stock lost over 0.02% in the pre-market session of January 31st, 2020 (Source: Google finance) as the company missed the topline estimates for the fourth quarter of FY 19. At the end of December, 2019, Aimco held cash and restricted cash of $177 million and had the capacity to borrow up to $518 million under its revolving credit facility, after consideration of $7 million of letters of credit backed by the facility. Aimco also manages its financial flexibility by maintaining an investment grade rating and holding apartment communities that are unencumbered by property debt. At December 31, 2019, Aimco held unencumbered apartment communities with an projected fair market value of approximately $2.4 billion. Further, the company has made a five-year, $275 million mezzanine loan at a 10% annual rate to the partnership owning Parkmerced Apartments.

AIV in the fourth quarter of FY 19 has reported the adjusted funds from operations per share of 65 cents, which is in line with the analysts’ estimates for the adjusted funds from operations per share of 65 cents, according to analysts surveyed by Zacks Investment Research. The company had reported the adjusted revenue of $230 million in the fourth quarter of FY 19, missing the analysts’ estimates for revenue of $230.5 million.

Additionally, the company declared quarterly cash dividends of $0.41 per share of Class A Common Stock, which represents an increase of 5% compared to the regular quarterly dividends paid in 2019. This amount is payable on February 28, 2020, to stockholders of record on February 14, 2020.

Aimco expects 2020 Pro forma FFO per share to be in the range of $2.62 to $2.72 with AFFO per share of $2.34 to $2.44. At the guidance range midpoint, Aimco expected 2020 AFFO growth to be of $0.19, or 9%. The company expects $0.13 per share growth from its Same Store portfolio, based on the first quarter 2020 population, $0.05 per share net contribution from its investments, resulting from the $0.06 net contribution from the Parkmerced mezzanine loan, $0.04 incremental AFFO from Redevelopment and Development communities, and ($0.05) dilution from property sales funding Redevelopment and Development and other Aimco investments in real estate; and $0.01 per share contribution from other items, net. The $0.04 contribution from Redevelopment and Development communities is anticipated to increase another $0.18 per share, net of incremental capital costs, as these properties are stabilized over the next four years.

Copyright © 2020. All Rights Reserved. FXDailyReport.Com
Risk Warning: Trading CFDs is a high risk activity and you may lose more than your initial deposit. You should never invest money that you cannot afford to lose. FXDailyReport.com will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets.