True North Commercial REIT (TSE:TNT.UN) Shares Pass Above 50-Day Moving Average - Should You Sell?

Key Points

• Technical update: Shares crossed above the 50‑day moving average (C$8.35), trading as high as C$8.52 and last at C$8.45, but remain below the 200‑day MA (C$8.79), so short‑term momentum has improved while the longer‑term trend is still weak.
• Weak fundamentals: The REIT reported a C($1.15) quarterly EPS with negative ROE (-10.66%) and net margin (-38.96%), very high debt‑to‑equity (175.73) and very low liquidity (quick ratio 0.06, current ratio 0.14).
• Dividend risks: It pays a monthly $0.0575 distribution (ex‑dividend Apr 30) for an 8.2% yield, but the payout ratio is negative, which questions the dividend's sustainability given the operating losses and high leverage.

Shares of True North Commercial REIT (TSE:TNT.UN - Get Free Report) crossed above its 50 day moving average during trading on Friday . The stock has a 50 day moving average of C$8.35 and traded as high as C$8.52. True North Commercial REIT shares last traded at C$8.45, with a volume of 19,569 shares.

True North Commercial REIT Price Performance

The firm has a fifty day simple moving average of C$8.35 and a 200 day simple moving average of C$8.79. The company has a market capitalization of C$118.79 million, a PE ratio of -3.65 and a beta of 0.96. The company has a debt-to-equity ratio of 175.73, a quick ratio of 0.06 and a current ratio of 0.14.

True North Commercial REIT (TSE:TNT.UN - Get Free Report) last posted its quarterly earnings data on Tuesday, March 17th. The company reported C($1.15) earnings per share for the quarter. The business had revenue of C$40.33 million during the quarter. True North Commercial REIT had a negative return on equity of 10.66% and a negative net margin of 38.96%.

True North Commercial REIT Dividend Announcement

The business also recently disclosed a monthly dividend, which will be paid on Friday, May 15th. Stockholders of record on Friday, May 15th will be issued a $0.0575 dividend. This represents a c) annualized dividend and a dividend yield of 8.2%. The ex-dividend date of this dividend is Thursday, April 30th. True North Commercial REIT's payout ratio is -24.82%.

About True North Commercial REIT

True North Commercial REIT is a Canadian-based open-ended Real estate investment trust company. It owns and acquires Canadian commercial real estate properties. Its objective is to maximize total returns to unitholders. Returns include a stable, reliable, and tax-efficient monthly cash distribution as well as long-term appreciation in the value of its units through the effective management of a portfolio of commercial properties. It has properties in Alberta, British Columbia, New Brunswick, Nova Scotia, and Ontario.

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