Innovative Industrial: A REIT With Weed And Maximum Greed

Summary:

• IIPR’s valuation has dropped significantly, making it an attractive buy at $70/share, with a conservative target of $120/share by 2026E.
• Despite risks like potential dividend cuts and rental collection issues, the current undervaluation presents a compelling investment opportunity.
• IIPR’s unique position as a cannabis REIT and its ability to provide capital to cannabis companies are key strengths.
• The company’s fundamentals remain sound, and even conservative forecasts suggest a substantial upside, making it a “Buy” at current levels.

This article was coproduced with Wolf Report.

I’ve been following the cannabis sector for a few years now.

My very first article was on Innovative Industrial Properties (NYSE:IIPR) was back in 2018.

As you can see, IIPR climbed from $44.48 when I

Analyst’s Disclosure: I/we have a beneficial long position in the shares of IIPR, IRET either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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