A safe stock for a recession - PSTL

The last couple months have been difficult ones in the stock market and I've read a lot of posts from people worried about how their investments will do if the US goes into a recession. With that in mind, I wanted to suggest a stock for potential consideration for folks on this sub: Postal Realty Trust (ticker PSTL). PSTL is a REIT that owns post offices and postal facilities that are leased to the US government. I had always just assumed that the US government owned all the post offices but apparently they (over 25K facilities) are owned by the private sector and leased to the government. PSTL believes it is the largest owner of facilities leased to the USPS. PSTL owns or manages roughly 1400 facilities and has been steadily acquiring more. Leases are typically triple net with 5 year terms. With the USPS as its lessee, this is probably the stock I worry least about in the event of a recession. Since its IPO in 2019, the company has increased its dividend each quarter. Based on the most recent dividend of $0.23, the current yield is 5.55%. Like most REITs, I really doubt this stock is going to be any sort of rocket-ship, but I feel like it has an attractive yield today with a strong likelihood of dividend increases in the future. As always, do your own research. The company's website is https://postalrealtytrust.com/ Disclaimer: I do own PSTL shares. I'm not affiliated with the company in any way.

back
scot-tagscot-icon

Scouted Idea

We scour the net for great ideas, so you don't have to

Original Post

portfolio-reddit logo

Is this your Reddit account?

Claim this username to collect earnings from this post, and the portfolio!

portfolio reddit logoportfolio utradea logo

A safe stock for a recession - PSTL

May 6, 2022

bullish

general Analysis

[1 min Read]

The last couple months have been difficult ones in the stock market and I've read a lot of posts from people worried about how their investments will do if the US goes into a recession. With that in mind, I wanted to suggest a stock for potential consideration for folks on this sub: Postal Realty Trust (ticker PSTL).

PSTL is a REIT that owns post offices and postal facilities that are leased to the US government. I had always just assumed that the US government owned all the post offices but apparently they (over 25K facilities) are owned by the private sector and leased to the government. PSTL believes it is the largest owner of facilities leased to the USPS. PSTL owns or manages roughly 1400 facilities and has been steadily acquiring more. Leases are typically triple net with 5 year terms. With the USPS as its lessee, this is probably the stock I worry least about in the event of a recession.

Since its IPO in 2019, the company has increased its dividend each quarter. Based on the most recent dividend of $0.23, the current yield is 5.55%. Like most REITs, I really doubt this stock is going to be any sort of rocket-ship, but I feel like it has an attractive yield today with a strong likelihood of dividend increases in the future. As always, do your own research. The company's website is https://postalrealtytrust.com/

Disclaimer: I do own PSTL shares. I'm not affiliated with the company in any way.

page loading card

PSTL

Postal Realty Trust, Inc.

15.15

0
0.00%

Return

-8.46%
Change % Since Posting
-1.40
Change Since Posting
16.55
Price When Posted

Metrics

18.21
Target Price
9/ 10
Confidence
6-12 Months
Timeframe
catalyst icon
Earnings Release
catalyst icon
News
catalyst icon
SEC
Filing
catalyst icon
Sentiment
catalyst icon
Other Catalyst

Access the latest tools and discussion channels with an account

reddit-sentiment

Reddit Sentiment
Analysis

portfolio-balancer

Portfolio Balancer
with brokerages

sec-dashboard

SEC Dashboard
with NLP

aiodd-ad
next