President, CEO and Director J. William Blackham purchased 71,428 shares of Condor Hospitality Trust Inc. (CDOR, Financial) on March 29 for $10.5 per share according to SEC filings.
Blackham now owns 106,488 total shares of the company.
Headquartered in Norfolk, Nebraska, Condor Hospitality, formerly known as Supertel Hospitality Inc., is a self-administered real estate investment trust (REIT). The company invests in and owns select service, limited service, extended stay and full service hotels. The REIT owns over 30 hotels in approximately 20 states that operate through various national and independent brands.
Condor Hospitality has a market cap of $70.32 million, an enterprise value of $190.19 million, a price-book (P/B) ratio of 1.19, a current ratio of 2.35 and a quick ratio of 2.35.
Over the previous year, Condor Hospitality’s market price has declined an estimated 17%. Over the past five years, its stock price has plummeted an estimated 80%.
According to GuruFocus, the REIT has a 5 of 10 financial strength rating. It has a cash-debt ratio of 0.13, an equity-asset ratio of 0.48 and an Altman Z-Score of 0.55, indicating it is in financial distress and could potentially file for bankruptcy within the next two years. The Beneish M-Score of -2.54 suggests the company does not manipulate its financial statements. The Piotroski F-Score of 6 indicates its business condition is typical for a stable company.
The company has a 5 of 10 profitability and growth rating. It has an operating margin of 3.96%, a net margin of 45.61%, a return on assets (ROA) of 15.57% and a return on capital (ROC)Â of 28.77%, ranking it higher than 54% of the 542 companies in the Global REIT - Hotel and Motel industry.
Condor Hospitality is currently trading close to its 52-week low of $9.82. In addition, its P/B ratio of 1.19 is close to its one-year low of 1.18. In December 2016, the company had $8.37 million in cash and equivalents, a 74.37% increase from $4.8 million in December 2015.
Below is a Peter Lynch chart showing Condor Hospitality is trading above its intrinsic value.
Disclosure: Author does not own any shares of this company.
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