The comparison to VVR is interesting. Yes, it does look cheap relative on both a NTA discount perspective, and yield / cap rate valuations etc. I think boils down large to the bizarre premiums ascribed to large cap stocks, even then risks are comparable to smaller/micro cap counterparts (in this instance, WALE, Cap rates, interest rates*, gearing etc, + the eventual disruption to fuel retailing from Electric Vehicles. *Sorry, in terms of above VVR does have slightly cheaper debt I think? (but like 50bps or something, on total of 30% gearing, so .... carefactor is small in terms of earnings impact).
I think CCR is reasonable value at 270 - $2.80. Downside risk is limited, company has announced share buyback, and dividend stream is underpinned by sustainable (predictable) earnings stream. Be pretty hard for the management is screw this up....
I would prefer it is the insiders held a few more shares. They have been curiously absent, both directors, and management.
CRR Price at posting:
$2.78 Sentiment: Hold Disclosure: Held
