Recently I sold the 11 shares I own in Warehouses de Pauw (WDP). Warehouses de Pauw is a Belgium REIT which is investing in warehouses.
I sold the shares against a price of €163,20. WDP is owning a strong portfolio of warehouses and is having a good solvability, but I consider the stocks at the moment this much overpriced that I closed my position. The last net asset value which was published in june is €76,70 so also the big difference between the share price and the NAV is giving me an extra reason to sell.
As the current announced dividend is €5,20 (3,18% yield), my yearly estimated dividend income will decline by €57,20.
I’m adding WDP to my watchlist as I still believe this is a very high quality REIT, but I will only get back into this stock when the yield will be around 4,5%.
With the current announced dividend of €5,20 the stock will have to be priced around €115 to be considered a buy again by me. This is a decline of 30%
I purchased the stocks against an average price of €94,63 and sold them against a price of €163,20 so the investment in Warehouses de Pauw was a very profitable one. I made a profit of €861,61 including €109,98 in dividends received on an investment of €1.040,89.
So I’m selling one of the winners in my portfolio, but I feel like the valuation of this REIT is way to high at the moment.
With the proceeds from this sale I purchased Albemarle stocks. I will write make a post about this purchase later this week.