Gould Investors LP, a major holder of BRT Apartments (BRT), recently bought 3,471 shares. The buy increased the fund’s stake by less than 1%, and came to a total cost of $56,450. The buy came a few days after the fund bought 3,268 shares, at a cost of $53,156.
This is the first activity from the fund since May 2023. Otherwise, company insiders have been a bit more mixed, with a number of insider sales, including the company COO and CFO.
Overall, BRT Apartments insiders own 21% of shares.
The multifamily property manager is down 13 percent over the past year. Rising interest rates have weighed on assets such as real estate.
Even with rising costs in real estate, BRT managed to increase its revenues by only 3%.
That trend could reverse this year as interest rates start to decline, and BRT could see its returns increase.
Action to take: Investors may like shares with the potential for more upside in shares ahead. As a REIT, BRT is structured to pay out most of its earnings as dividends. At current prices, BRT pays a 6.1% dividend yield.
For traders, options are somewhat limited. But the September $17.50 calls, last trading for about $0.90, could see mid-to-high double-digit returns on a move higher in shares later in the year.
Disclosure: The author of this article has no position in the company mentioned here, but may trade after the next 72 hours. The author receives no compensation from any company mentioned in this article.