A hot stock tip?

Looking for a bargain?  Got those animal spirits?  Want to make some quick money?  Well all of you wanting a hot stock tip that likely is as good as it gets over the next month or so I got one.  American Realty Capital Properties has sold down over the last week significantly.  The triple net REIT is trading today at $11.85 per share.  The net asset value is just north of $12.  The shares have traded as high as almost $15 within the last three months.   We believe a fair price for ARCP is around $13 per share.  The stock is yielding 8.4% which is as far as we can see is safe and even better pays out monthly.  At a $13 price it would still be yielding 7.6%.  

We have been pushing purchase of this security since the first of 2014.  Yes we know the story has changed a bit since then due to the large move by management to exit some shopping center assets and take a big bet on the Red Lobster lease purchase.  We expect the purchase of Red Lobster and the uncertainty there has got investors spooked.  Some financial services firms have downgraded ARCP to hold lately as well.   But go take a look at recent purchases by insiders and all we see is buy, buy, buy, so either these insiders want to throw good money after bad or they think the stock is a buy. We will not be foolish here, yes there is some risk, but we think the risk is worth taking and once all the selling settles out in the next week ARCP will move back up to where it should be trading. 

So if you are looking for an opportunity to make some quick bucks here it is for you.  One other note if you decide to buy watch those monthly ex-dividend dates.  

We hold 4800 options on ARCP.