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Added to YB: 2024-12-27

Pitch date: 2024-12-24

CMCT [bullish]

Creative Media & Community Trust Corporation

-88.75%

current return

Author Info

Sophon Capital Management is a solo analyst with experience both on the buyside (at a Tiger Grand Cub, long/short hedge fund) and on the sell-side (covering Internet at a Wall Street investment bank) who is scouring the public markets for compounding machines and hidden assets. Sign up for the newsletter.

Company Info

As of March 31, 2025, our real estate portfolio consisted of 27 assets, all of which were fee-simple properties and five of which we own through investments in unconsolidated joint ventures (the “Unconsolidated Joint Ventures”).

Market Cap

$6.1M

Pitch Price

$38.05

Price Target

2.00 (-53%)

Dividend

N/A

EV/EBITDA

20.58

P/E

-0.03

EV/Sales

6.81

Sector

Office REITs

Category

turnaround

Show full summary:
Trade idea #5: Distressed REIT with sub-$20M market cap - Creative Media & Community Trust Corporation

CMCT: Distressed REIT at $0.13/sh, rejected $8.88 buyout in 2022. $2+/sh NAV est. post-preferred conversion. Refinancing plan, reduced bankruptcy risk. Forced selling opportunity. CIM Group stake down to ~15%, activist potential. Risks: further dilution, CIM actions. Catalysts: forced selling abates, mean reversion.

Read full article (3 min)