1 Top Canadian REIT That Will Beat the Coronavirus and Soar Higher

Real Estate Investment Trust REIT on double exsposure business background.

Like many TSX-listed stocks, Canadian REITS have fallen sharply as the coronavirus pandemic ravages the global economy. Many economists believe that it will spark the worst economic downturn since the Great Depression. Aside from airlines and entertainment venues, many of the hardest-hit stocks are traditional bricks and mortar retailers.

Already facing extinction because of the explosion in the popularity of internet shopping, the shuttering of non-essential services by governments has accelerated the demise of traditional retailers. This is weighing heavily on retail real estate investment trusts (REITs), boding poorly even for those with grocery anchored tenants likes Slate Retail REIT.

Rapidly growing internet retail

Not all retailers are suffering because of the pandemic, however. Internet shopping is booming because of governments across the globe shuttering non-essential businesses and placing restrictions on movement in order to contain the pandemic. Between now and 2023, global online retail sales are expected to expand by almost 56% to over US$6.5 trillion.

Online shopping behemoth Amazon.com recently reported that sales in Mach have exploded, including groceries, which, like other necessity-based retail items have traditionally proven immune to the retail apocalypse. Online grocery sales will keep growing even once the coronavirus pandemic ends.

While retail REITs will suffer — particularly those that thought they were immune to the retail apocalypse because they have major grocery chains — as anchor tenants, it will be a boon for industrial REITs. This is because while internet retailers don’t require a bricks and mortar presence they require light industrial premises for logistics and inventory management purposes.

Industrial real estate boom

The rapid growth of internet retailing and e-commerce has sparked a marked increase in demand for light industrial real estate. This has been a segment of commercial real estate that has been ignored for decades.

Shopping centres received the lion’s share of attention from investors, which saw a dearth of investment in light industrial real estate for years, leading to a shortage in inventory at a time when demand is growing at furious clip.

A combination of constrained supply and rising demand will cause asset values and rents for industrial real estate to appreciate at steady clip. That bodes well for REITs focused on industrial properties.

Buy this REIT today

One Canadian REIT which stands out is WPT Industrial Real Estate Investment Trust (TSX:WIR.U). It has lost 17% since the start of 2020, creating an opportunity to acquire a quality business at an extremely attractive valuation. WPT finished 2019 in with robust fundamentals. These included a very impressive 99% occupancy rate and weighted average remaining lease time of 4.9 years.

WPT is well-positioned to benefit from the considerable growth of online retailing and e-commerce, and indeed counts four e-commerce companies among its top 10 tenants, including Amazon, WPT’s fourth-ranked tenant by annualized base rent.

This bodes well for stability of WPT’s business and earnings growth.

Robust fundamentals

WPT finished 2019 with a conservative debt to gross book value of 43.6%, lower than many of its peers. The REIT had total liquidity of US$116 million at the end of March with only one mortgage to the tune of US$32 million maturing in 2020.

There are another US$73 million of mortgages due in 2021, but WPT expects to refinance all facilities when they fall due. Those numbers underscore the strength of WPT’s financial position and ability to weather the current economic crisis.

WPT has collected 93% if its April rents helping to ease the short-term impact of the coronavirus on earnings. Second- and third-quarter earnings may decline because of tenants impacted by the virus seeking short-term rent deferments.

Foolish takeaway

WPT’s solid fundamentals and high-quality tenants combined with growing demand for light industrial real estate bodes well for long-term earnings growth. Those characteristics will see WPT as one of the few Canadian REITs to emerge from the current crisis in solid shape.

Now is the time to buy WPT because it’s trading at a 17% discount to its book value of US$13.31 per unit, highlighting the upside available. WPT’s attractiveness is enhanced by its monthly distribution yielding a juicy 6.6%, making now the time to buy.

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Malaysia as the main global supplier of medical gloves amid the COVID-19 crisis

Since the introduction of the Movement Control Order (MCO) on 18 March, the bulk of business activity in Malaysia has been critically limited. Throughout the MCO, people have been ordered to remain at home unless they are going out to buying necessary provisions or get medical help. Also, both interstate and international travel has been […]

The post Malaysia as the main global supplier of medical gloves amid the COVID-19 crisis appeared first on The Online Citizen.

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SAFE Credit Union $400 Checking Bonus (CA)

Safe Credit Union Promotion

Learn more about SAFE Credit Union promotions, bonuses and offers here!

They have a $100 and $400 bonus when you open a new account and meet all the requirements.

About SAFE Credit Union Promotions

Established in 1940, SAFE Credit Union is headquartered in Folsom, California and has since then expanded to 23 locations. They offer money market rates that are 8X the national average, and have an A health rating. If this does not interest you, but you still want to save big, you can see all these nationwide bank bonuses for more suitable offers.

  • Availability: CA (Bank Locator)
  • Routing Number: 321173742
  • Customer Service: 916-979-7233
Eligibility: Membership in Safe Credit Union is open to those who live, work, attend school or worship in Sacramento, Yolo, Placer, Yuba, Amador, Sutter, Butte, Contra Costa, Nevada, San Joaquin, Solano, or El Dorado counties in California. (Membership requirements are listed in the online application)
See current membership details

While SAFE Credit Union does have competitive CD and Savings rates for a traditional bank, it is still hard to beat online banks. Therefore you may want to check out our full list of Bank Rates and CD Rates.

I’ll review the offers below.

Bank Offers You May Like
See our best bank bonuses updated daily to earn up to $1,000 in free money. Find popular checking offers such as CIT Bank, Chase Bank, HSBC Bank, Discover Bank, Huntington Bank, and TD Bank. See our best rates for Savings and CD too.
FEATURED BANK PROMOTIONS
PROMOTIONAL LINK OFFER REVIEW
HSBC Premier Checking Member FDIC $475 Cash Review
HSBC Premier Checking Member FDIC Up To $700 Review
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HSBC Advance Checking Member FDIC Up To $270 Review
Chase Total Checking® $200 Cash Review
Chase Premier Plus CheckingSM $300 Cash Review
Huntington 5 Checking $200 Cash Review
Huntington Asterisk-Free Checking $150 Cash Review
Discover Bank Online Savings $200 Cash Review
TD Bank Checking $300 Cash Review

SAFE Credit Union $400 Checking Bonus 

SAFE Credit Union is offering a $400 bonus when you open a new qualifying checking account

  • Account Type: Perfect Cents or Prestige Checking
  • Credit Inquiry: Unknown
  • ChexSystems: Unknown, let us know
  • Opening Deposit: $25 for Checking, $5 for Savings
  • Credit Card Funding: Unknown
  • Direct Deposit Requirement: Optional
  • Monthly Fee: $5 (Can be Waived)
  • Household Limit: None Listed
  • Closing Account Fee: None listed, check with CSR

(Does Not Expire)

There are several entry Checking offers I’d recommend comparing this one to. The Chase Sapphire Checking ($1,000 bonus) and Premier Plus ($300 bonus) are both great options. The Huntington 5 Checking ($200 bonus) is also a fantastic option to take advantage of.

How To Earn $400 Bonus

HOW TO EARN BONUSACCOUNT FEATURESWAIVE THE MONTHLY FEEFINE PRINT
  • Get $250 when you:
    • Open a Perfect Cents Checking or Prestige Checking account
    • Have 3 consecutive direct deposits of $1,000 or more in the first 120 days
  • Get $150 when you:
    • Make 30 qualifying with your SAFE Visa Debit Card in the first 90 days
  • Earn premium dividends on checking and linked savings account
  • Automatic Perfect Cents Savings
  • Fee-free overdraft protection transfers
  • Fee-free debit and credit card replacement
  • Earn tiered dividends based on account balance
  • Fee-free debit and credit card replacement
  • Free SAFE checks
  • Perfect Cents:
    • $5 Monthly Fee
      • Can be Waived With Both:
        • eStatements
        • Either $500 worth of direct deposit or 10 purchase transactions
  • Prestige Checking:
    • $8 Monthly Fee
      • Can be Waived With Both:
        • No monthly fee with minimum daily balance of $1,000 or more
  • Reported on IRS Form 1099-INT
  • Account receiving bonus must be open and in good standing
  • Cannot be combined with other offers
  • Cash Rewards amounts are dependent on the commissions paid to the agent
  • SAFE Credit Union may have specific rules on how your Cash Rewards will be paid out
  • Cash Rewards incentives are available in most states; however, are void where prohibited by law or by the lender
  • Please consult with your credit union to get details that may affect you

Hat tip to Lindsay

SAFE Credit Union $100 Checking Bonus 

Get up to $100 when you sign up with SAFE Credit Union

SAFE Credit Union is offering a $100 bonus when you open a new qualifying checking account

  • Account Type: Perfect Cents Checking/Savings Account
  • Credit Inquiry: Unknown
  • ChexSystems: Unknown, let us know
  • Opening Deposit: $25 for Checking, $5 for Savings
  • Credit Card Funding: Unknown
  • Direct Deposit Requirement: Optional
  • Monthly Fee: $5 (Can be Waived)
  • Household Limit: None Listed
  • Closing Account Fee: None listed, check with CSR

(Expires July 31, 2019)

Be sure to apply as soon as possible for these SAFE Credit Union promotions! Also feel free to take advantage of these other great deals offered by the following banks: HSBC BankChase BankHuntington BankDiscover BankTD BankBBVA Compass Bank or CIT Bank.

How To Earn $100 Bonus

HOW TO EARN BONUSACCOUNT FEATURESWAIVE THE MONTHLY FEEFINE PRINT
  • Open a Perfect Cents Checking® account with automatic enrollment in Perfect Cents Savings®
  • Shop with your SAFE Visa® debit card
  • SAFE will round up the purchase amount to the next dollar and transfer the ‘change’ from your checking to your savings account
  • Must be enrolled in eStatements
  • Checking
    • Earn premium dividends on checking and linked savings account
    • Automatic Perfect Cents Savings
    • Fee-free overdraft protection transfers
    • Fee-free debit and credit card replacement
  • Savings
    • Overdraft protection for your SAFE checking account
    • Rate as high as 0.1%
  • $5 Monthly Fee
    • Can be Waived With Both:
      • eStatements
      • Either $500 worth of direct deposit or 10 purchase transactions
  • Reported on IRS Form 1099-INT
  • Account receiving bonus must be open and in good standing
  • Cannot be combined with other offers
  • They will match your Perfect Cents Savings® transfers up to $100 for the first 90 days upon opening the account
  • Fees may reduce earnings

Bottom Line

Be sure to take a look at SAFE Credit Union to learn more about their $100 bonus promotion. While this promotion is fairly easy to meet the requirements and provides great services. However I can only recommend this promotion if it triggers a safe pull.

Feel free comment below and let us know about any additional information we may have missed and whether or not this event triggers a soft pull. We value your feedback and will continue to keep you posted on the latest bank offers nationwide.

*Check back at this page for updated SAFE Credit Union promotions, bonuses and offers.

Other Bank Bonuses You May Like
The best bank bonuses are updated here. Check the below pages to get started with some of the best offers:

Chase Bank Bonuses. Read about several offers for their Checking, Savings and Business accounts. Chase usually offers the most sign-up bonuses of all the big banks.
HSBC Bank Bonuses. HSBC Bank routinely has offers for several of their Personal Checking and Business Checking accounts. They also have a good referral program.
TD Bank Bonuses. TD Bank consistently offers great Checking account bonuses all year long. Savings account offers are less frequently available.
Huntington Bank Bonuses. Bonus offers for their Checking accounts are only available for limited periods throughout the year. They also have great options for those looking for a free Checking account (no monthly fees).
Discover Bank Bonuses. Discover Bank offers top cashback, savings, money market accounts and CD rates for you to take advantage of. Discover has industry leading selections to cater to your banking needs.

FEATURED BANK PROMOTIONS
PROMOTIONAL LINK OFFER REVIEW
HSBC Premier Checking Member FDIC $475 Cash Review
HSBC Premier Checking Member FDIC Up To $700 Review
HSBC Advance Checking Member FDIC $225 Cash Review
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Chase Total Checking® $200 Cash Review
Chase Premier Plus CheckingSM $300 Cash Review
Discover Bank Online Savings $200 Cash Review
Huntington 5 Checking $200 Cash Review
Huntington Asterisk-Free Checking $150 Cash Review
You InvestSM by J.P. Morgan $725 Cash Review
TD Bank Beyond Checking $300 Cash Review
TD Bank Convenience CheckingSM $150 Cash Review
HSBC Direct Savings Member FDIC 1.70% APY Review
Comenity Direct High Yield Savings 1.70% APY Review
UFB Direct High Yield Savings 1.70% APY Review
CIT Bank Money Market 1.65% APY Review
American Express High Yield Savings 1.50% APY Review
Huntington Relationship Money Market 1.25% APY Review
E*TRADE $0 Commissions Review
Ally Invest Up to $3,500 Cash Review
TD Ameritrade $600 Cash Review
Chase Sapphire Preferred® Card 60,000 Points Review

More

The post SAFE Credit Union $400 Checking Bonus (CA) appeared first on Hustler Money Blog.

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Market Rally: The Best Thing TFSA Investors Can Do With $6,000

Happy diverse people together in the park

The recent market rally has taken the TSX Composite Index up by about 30% since its lows last month. While many see this rally as short-lived, there are some stocks that could be less susceptible even if the markets crash from here.

A TFSA (Tax-Free Savings Account) is one of the best tax-efficient investment options Canadians have. TFSA users can buy stocks with strong total return potential, meaning both dividends and stock appreciation. The TFSA contribution limit for 2020 is $6,000, and the total, cumulative contribution limit is $69,500.

Shaw Communications

Shaw Communications (TSX:SJR.B)(NYSE:SJR) is one of the best defensive stocks in Canada. It looks attractive from the valuation standpoint even after the recent market rally and its strong dividend profile. Though it is the smallest in the three-player telecom industry, Shaw offers solid growth prospects mainly due to recent success in the wireless segment.

Lockdowns will likely have little impact on the earnings of the diversified communication company. It has been reporting stable revenues and earnings for the last several quarters. Its wireless segment, known as Freedom Mobile, offers it  strong growth potential for the future.

In the most recently reported quarter, Shaw Communications added 54,000 net postpaid subscribers. Its wireless customer base stood around 1.8 million.

Shaw stock offers a dividend yield of 5%, which is higher than the broader market. Notably, it has stable cash flows, which will continue to fuel stable dividends in the long term.

The stock has surged more than 30% from its 52-week low last month amid the market rally. Its discounted valuation compared to historical trends indicates there is room for further growth and a limited downside from the current levels.

Metro stock beat the market rally

Metro (TSX:MRU) is another solid defensive play that’s currently trading close to its record high levels. However, despite this recent market rally, Metro stock looks more fairly valued compared to peers Loblaw and Dollarama.

With a network of approximately 1,600 food and pharmacy stores across Quebec and Ontario, Metro offers basic necessities that will hardly go out of demand. The stock was relatively stable in the turbulent times during the pandemic-driven market weakness last month.

For the quarter ended in March 2020, it reported revenues of almost $4 billion, which were 8% higher year over year. Its net income increased a notable 18% year over year, to $183 million. Metro released these earnings last week, which further boosted the stock price.

Metro stock is currently trading at a dividend yield of 1.5%, which is much lower than that of the broader markets. Though it offers an unexciting yield, its dividend growth rate was 15% in the last five years, much higher than its peers. Notably, during the 2008 financial crisis, Metro didn’t just keep on paying dividends, it also increased its payouts.

Both Metro and Shaw Communications are classic defensive stocks. These two companies are well-positioned to withstand an economic shock mainly due to their stable earnings and the nature of their businesses. Their solid total return potential makes them both a fitting investment option for TFSA investors.

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The post Market Rally: The Best Thing TFSA Investors Can Do With $6,000 appeared first on The Motley Fool Canada.

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Oil Price War: Why NFI Group (TSX:NFI) Stock Fell

Arrow descending on a graph

Demand for oil has gone off a cliff due to the global COVID-19 crisis. As a result, gas prices have hit historically low levels. The price war between Saudi Arabia and Russia has undoubtedly worsened the problem.

As oil prices sink, very few investors will spend their money to maintain North American oil operations. According to an article published by Aljazeera, North American oil companies need to fix oil prices at $40 per barrel (at a minimum) to meet operational costs: “‘Shale companies need prices at least in the low $40s per barrel to cover direct costs,’ said Ian Nieboer, a managing director at consultant Enverus. If U.S. prices remain at a low-$30-a-barrel range, ‘it starts to look more lethal,’ he said.”

The price war, which failed to end at the beginning of April, is acting to reduce supply, even as Russia and Saudi Arabia drag their feet. North American producers are now forced to decommission oil wells to cut costs and avoid losses. Many are also postponing new investments.

What do low gas prices mean for alternative energy?

The change in the price of oil will only affect alternative energy in the short term. Nevertheless, stocks like the NFI Group (TSX:NFI), also known as New Flyer, will outperform oil stocks in the long run. Alternative energy is the future; the benefits of this technology extend further than just monetary savings.

Alternative energy will reduce carbon emissions and protect the environment for generations. Health-conscious millennials especially view renewable technology as a priority — hence, that’s why millennials prefer stocks like Tesla over Exxon Mobile. 

Whether you are nearing retirement or just starting to save for your golden years, NFI Group stock is your best bet at enjoying that time. Before the COVID-19 crisis and oil price war began, New Flyer stock was quickly picking up speed relative to the S&P/TSX Composite Index. Today, the stock price is nearly 44% lower from where it began at the start of the year.

NFI Chart

Given the firm’s limited competition in the electric bus space, I would definitely recommend this stock to all Canadian investors. When the crisis is over, I would not be surprised if New Flyer regained the same steam that it exhibited at the beginning of the year.

Why did the stock value fall during the COVID-19 crisis?

New Flyer stock lost value during the COVID-19 crisis for two reasons.

For one, relative valuations changed. The price of New Flyer stock had to drop in sympathy with other publicly traded companies. When the price of one asset changes, substitute assets must change along with it, even if other factors mute the effect.

Secondly, historically low gas prices have dampened the appeal of alternative energy technology in the short term. Thus, investors now view New Flyer as a risky asset.

As explained above, low gas prices will only temporarily reduce investment in alternative energy technology. Investors will soon find the relatively higher prices of electric vehicles as a solid source of profit.

Moreover, if renewable technology is going to succeed, it will inevitably have to compete with low gas prices. As renewable technology takes off, demand for oil will fall, which will drive down prices for the commodity.

In a sense, North American oil has no future. The future favours electric vehicles, like the electric buses manufactured by New Flyer.

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Fool contributor Debra Ray has no position in any of the stocks mentioned. David Gardner owns shares of Tesla. Tom Gardner owns shares of Tesla. The Motley Fool owns shares of and recommends Tesla. The Motley Fool recommends NFI Group.

The post Oil Price War: Why NFI Group (TSX:NFI) Stock Fell appeared first on The Motley Fool Canada.

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