Today’s Filing Alert: James Dondero’s Highland Capital Management Lp Just Disclosed New Rait Financial Trust Position

Today's Filing Alert: James Dondero's Highland Capital Management Lp Just Disclosed New Rait Financial Trust Position

The New James Dondero’s Highland Capital Management Lp Holding in Rait Financial Trust

Highland Capital Management Lp filed with the SEC SC 13D form for Rait Financial Trust. The form can be accessed here: 000119312516733209. As reported in James Dondero’s Highland Capital Management Lp’s form, the filler as of late owns 6.3% or 5,807,747 shares of the Finance–company.

Rait Financial Trust stake is a new one for the for the hedge fund and it was filed because of activity on October 6, 2016. We feel this shows James Dondero’s Highland Capital Management Lp’s positive view for the stock. For a hedge fund managing $15.04 billion in assets and having 105+ active experts, we at Financialmagazine have no doubt the buy is a bullish signal.

The hedge fund is active investor in the Finance sector. In the manager’s last 13-F, we saw 25% of James Dondero’s Highland Capital Management Lp’s US equities portfolio is in this sector.

Reasons Why James Dondero’s Highland Capital Management Lp Bought – Rait Financial Trust Stock

Purpose of Transaction

The Reporting Persons believe that the Company’s CommonShares are undervalued and are an attractive investment.

The Reporting Persons intend to engage in discussions with the Company andCompany’s management and board of directors, other stockholders of the Company and other interested parties that may relate to the governance and board composition, business, operations, cost structure, management, assets, capitalization,financial condition, strategic plans, and the future of the Company.

The Reporting Persons may also propose or take one or more of theactions described in subsections (a) through (j) of Item 4 of Schedule 13D, including but not limited to, solicitation of proxies, and may discuss such actions with the Company and Company’s management and the board of directors, otherstockholders of the Company and other interested parties.

The Reporting Persons intend to review their investments in the Company on acontinuing basis. Depending on various factors including, without limitation, the Company’s financial position and investment strategy, the price levels of the Common Shares, conditions in the securities markets and general economic andindustry conditions, the Reporting Persons may in the future take such actions with respect to their investments in the Company as they deem appropriate, including, without limitation, purchasing additional Common Shares or other financialinstruments related to the Company or selling some or all of their beneficial or economic holdings, engaging in hedging or similar transactions with respect to the securities relating to the Company and/or otherwise changing their intention withrespect to any and all matters referred to in Item 4 of Schedule 13D.

CUSIP NO. 74922760913DPage 16 of 19 Pages

Rait Financial Trust Institutional Sentiment

Latest Security and Exchange filings show 115 investors own Rait Financial Trust. The institutional ownership in Q3 2015 is high, at 45.24% of the outstanding shares. This is decreased by 7910790 the total institutional shares. 41709607 were the shares owned by these institutional investors. In total 19 funds opened new Rait Financial Trust stakes, 46 increased stakes. There were 9 that closed positions and 36 reduced them.

David Dreman Dreman Value Management Llc is an institutional investor bullish on Rait Financial Trust, owning 1427332 shares as of Q3 2015 for 0.71% of its portfolio. Holt Capital Advisors Llc Dba Holt Capital Partners Lp owns 283333 shares or 0.59% of its portfolio. NJ Advisors Capital Management Llc have 1.22% of their stock portfolio for 2248732 shares. Further, Cetera Advisors Llc reported stake worth 0.70% of its US stock portfolio. The CA Orinda Asset Management Llc owns 316842 shares. Rait Financial Trust is 1.98% of the manager’s US portfolio.

Business Profile

RAIT Financial Trust (RAIT) is a self-managed and self-advised real estate investment trust (REIT). RAIT uses its vertically integrated platform and relationships to originate commercial real estate loans, acquire commercial real estate properties and invest in, manage and service commercial real estate assets. The Company’s segments are real estate lending, owning and managing segment, Independence Realty Trust, Inc. (IRT) segment and Taberna Securitization segment. The Company’s real estate lending, owning and managing segment concentrates on lending, owning and managing commercial real estate assets throughout the United States. The Company’s IRT segment concentrates on the ownership of apartment properties in opportunistic markets throughout the United States. The Company’s Taberna Securitization segment includes the ownership and management of approximately three real estate trust preferred securitizations.

SEC Form 13D is filed within 10 days, by anyone who acquires beneficial ownership of 5%+ of any public firm. Activist investors and practices such as: company breakups, hostile takeovers, and change of control events, are permitted for this form filers. A filer must promptly update its 13D filing in case of acquisition or disposition of 1% or more of the securities that are the subject of the filing.

James Dondero’s Highland Capital Management Lp website.

Insitutional Activity: The institutional sentiment increased to 1.51 in Q2 2016. Its up 0.39, from 1.12 in 2016Q1. The ratio is positive, as 9 funds sold all RAIT Financial Trust shares owned while 28 reduced positions. 16 funds bought stakes while 40 increased positions. They now own 49.96 million shares or 4.49% less from 52.31 million shares in 2016Q1.

Moreover, Millennium Management Ltd has 0% invested in RAIT Financial Trust (NYSE:RAS) for 236,300 shares. Invesco accumulated 393,070 shares or 0% of the stock. Blackrock Institutional Trust Company Na holds 0% or 2.41 million shares in its portfolio. Alliancebernstein Limited Partnership holds 0% of its portfolio in RAIT Financial Trust (NYSE:RAS) for 114,657 shares. Morgan Stanley last reported 0% of its portfolio in the stock. Stanley last reported 12,000 shares in the company. Moreover, Exane Derivatives has 0% invested in RAIT Financial Trust (NYSE:RAS) for 1 shares. Moreover, Nationwide Fund Advsrs has 0.01% invested in RAIT Financial Trust (NYSE:RAS) for 466,401 shares. Schneider Capital Mngmt reported 34,591 shares or 0.02% of all its holdings. Legal And General Gru Public Limited Co holds 11,301 shares or 0% of its portfolio. Manufacturers Life Insurance The has invested 0% of its portfolio in RAIT Financial Trust (NYSE:RAS). Jacobs Levy Equity Management reported 85,000 shares or 0.01% of all its holdings. Financial Bank Of New York Mellon Corp holds 398,946 shares or 0% of its portfolio. Clarivest Asset Management, a California-based fund reported 91 shares. Bard Assoc holds 10,000 shares or 0.02% of its portfolio.

Analysts await RAIT Financial Trust (NYSE:RAS) to report earnings on November, 3. They expect $0.16 earnings per share, up 420.00% or $0.21 from last year’s $-0.05 per share. RAS’s profit will be $14.75 million for 4.63 P/E if the $0.16 EPS becomes a reality. After $0.12 actual earnings per share reported by RAIT Financial Trust for the previous quarter, Wall Street now forecasts 33.33% EPS growth.

The stock decreased 3.58% or $0.11 on October 6, hitting $2.96. RAIT Financial Trust (NYSE:RAS) has risen 1.37% since March 4, 2016 and is uptrending. It has underperformed by 6.67% the S&P500.

RAIT Financial Trust is a self-managed and self-advised real estate investment trust (REIT). The company has a market cap of $272.87 million. RAIT uses its vertically integrated platform and relationships to originate commercial real estate loans, acquire commercial real estate properties and invest in, manage and service commercial real estate assets. It currently has negative earnings. The Company’s divisions are real estate lending, owning and managing segment, Independence Realty Trust, Inc. (IRT) segment and Taberna Securitization segment.

RAIT Financial Trust (NYSE:RAS) Ratings Coverage

Out of 7 analysts covering RAIT Financial Trust (NYSE:RAS), 3 rate it a “Buy”, 0 “Sell”, while 4 “Hold”. This means 43% are positive. $7.50 is the highest target while $3.25 is the lowest. The $5.02 average target is 69.59% above today’s ($2.96) stock price. RAIT Financial Trust has been the topic of 9 analyst reports since August 3, 2015 according to StockzIntelligence Inc. FBR Capital maintained RAIT Financial Trust (NYSE:RAS) rating on Friday, February 26. FBR Capital has “Outperform” rating and $3.25 price target. The stock has “Mkt Perform” rating given by JMP Securities on Wednesday, December 9. Compass Point downgraded the shares of RAS in a report on Thursday, December 10 to “Neutral” rating. FBR Capital initiated the stock with “Outperform” rating in Friday, January 22 report. The firm has “Buy” rating given on Monday, March 14 by Deutsche Bank. The firm earned “Buy” rating on Monday, August 3 by Ladenburg Thalmann.

More notable recent RAIT Financial Trust (NYSE:RAS) news were published by: Seekingalpha.com which released: “RAIT Financial Trust Viewed Through The Eyes Of A Preferred Investor: An Update” on October 06, 2016, also Streetinsider.com with their article: “Independence Realty Trust (IRT), RAIT Financial Trust (RAS) Enter Agreement on …” published on September 27, 2016, Businesswire.com published: “RAIT Financial Trust Announces Third Quarter Cash Dividend on its Common Shares” on September 19, 2016. More interesting news about RAIT Financial Trust (NYSE:RAS) were released by: Fool.com and their article: “Why RAIT Financial Trust Real Estate Trust Stock Is Plummeting Today” published on December 08, 2015 as well as Fool.com‘s news article titled: “Why RAIT Financial Trust Real Estate Trust Jumped Today” with publication date: December 15, 2015.

According to Zacks Investment Research, “RAIT Financial Trust is an internally-managed real estate investment trust. It provides debt financing options to owners of commercial real estate and invests directly into commercial real estate properties located throughout the United States. RAIT originates secured and unsecured credit facilities including bridge and mezzanine loans, preferred equity investments, trust preferred securities and subordinated debt for private and corporate owners of commercial real estate, REITs, and real estate operating companies and their intermediaries. The Company is also an asset and property manager of real estate-related assets. RAIT Investment Trust is based in Philadelphia, Pennsylvania.”

RAS Company Profile

RAIT Financial Trust (RAIT), incorporated on August 14, 1997, is a self-managed and self-advised real estate investment trust (REIT). RAIT uses its vertically integrated platform and relationships to originate commercial real estate loans, acquire commercial real estate properties and invest in, manage and service commercial real estate assets. The Company’s divisions are real estate lending, owning and managing segment, Independence Realty Trust, Inc. (IRT) segment and Taberna Securitization segment. The Company’s real estate lending, owning and managing segment concentrates on lending, owning and managing commercial real estate assets throughout the United States. The Company’s investment may range from first mortgage loans to equity ownership of a commercial real estate property. The Firm manages its investments in-house through its asset management and property management professionals. The Company’s IRT segment concentrates on the ownership of apartment properties in opportunistic markets throughout the United States. The Company’s Taberna Securitization segment includes the ownership and management of approximately three real estate trust preferred securitizations.

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