Universal Health Realty Trust (UHT) has been in the portfolio since February, 2008. The cost basis was $37.61. The yield at the time of the initial purchase was 6.7%. Of several subsequent purchases, the highest yield was 7.6% at the time of that purchase.
UHT is, I believe, a soundly managed REIT. The company has increased the dividend at least annually since 1987. Since the time of my last purchase in August, 2012, UHT has seen strong price appreciation. This month I closed out the portfolio's position in UHT.
At this writing (January 22), prior to the close, the market price is $53.46.
The most recent quarterly dividend, paid December 31, 2012, was 62 cents per share. At the current market price of $53.46, the yield is over 4.6%. One of the difficult decisions in investing is knowing when to sell a stock. The decision to sell UHT was not easy. The sale is not a reflection of the company's operation, which continues to move along steadily.
The sale was part of a larger diversification. The portfolio's heaviest weighting is in REITs and it included two healthcare REITs, UHT and LTC Properties Inc (LTC). At year-end 2012, UHT represented 7.3% of the portfolio.
I would not hesitate to own UHT again. This is certainly not a recommendation to sell (or buy) UHT. As always, do your own homework. Everyone's situation is different.
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