Ian Cooper’s Stock Pick of the Week

Chart of Day: Innovative Industrial Properties (IIPR)

With a yield of just over 6%, Innovative Industrial Properties (IIPR) is a commercial mortgage real estate investment trust that provides financing to the cannabis industry.

While cannabis is still a controversial investing topic, it’s tough to avoid. For one, both presidential candidates support legalization efforts. In fact, Donald Trump just signaled support for reclassifying cannabis as a less dangerous drug. Two, according to the Pew Research Center, nine out of 10 Americans say it should be legalized.

All of which could have a substantial impact on IIPR and its future dividend payouts.

Even more impressive, IIPR’s second quarter funds from operations (FFO) of $2.06 beat by six cents. Revenue of $79.8 million, up 4.4% year over year, beat by $2.54 million. Again, should we see further legalization efforts, IIPR could be a prime beneficiary.

 

Ian Cooper is an experienced trader who uses a combination of technical, fundamental, and news analysis to help individual investors grow their wealth. Ian’s Premium Options Strategies

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