Oppenheimer Keeps Their Hold Rating on America First Tax Exempt LP

Oppenheimer analyst Ben Chittenden maintained a Hold rating on America First Tax Exempt LP (NASDAQ: ATAX) yesterday. The company’s shares closed yesterday at $6.40, close to its 52-week high of $6.45.

Chittenden wrote:

“ATAX reported 1Q18 “core” net income to limited partners of $0.08 vs. our $0.08 estimate. Stronger than expected investment revenue was largely offset by higher total expense ex $0.99M benefit of change in FV of derivatives (captured in interest expense). Swaps are certainly real hedges to rising funding costs, but we focus on the underlying yield/funding dynamics that could persist. Overall the portfolio has been very steady but unable to produce enough earnings to support cash available for distribution on an organic basis. With three properties left in the MF Properties portfolio and one set for sale potentially by 2Q18, we think management will need to start speaking to plan B regarding generating enough income to cover their CAD ex property sales.”

According to TipRanks.com, Chittenden is a 3-star analyst with an average return of 1.2% and a 54.7% success rate. Chittenden covers the Financial sector, focusing on stocks such as Discover Financial Services, Credit Acceptance Corp, and Capital One Financial.

America First Tax Exempt LP has an analyst consensus of Hold.

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Based on America First Tax Exempt LP’s latest earnings release for the quarter ending March 31, the company reported a quarterly net profit of $5.95 million. In comparison, last year the company had a net profit of $6.14 million.

Based on the recent corporate insider activity of 43 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of ATAX in relation to earlier this year.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

America First Multifamily Investors LP engages in the acquisition of a portfolio of mortgage revenue bonds that are issued by state and local housing authorities to provide construction and permanent financing for affordable multifamily and student housing and commercial properties.