This Dividend-Paying Cannabis Stock Had Higher 1-Year Return Than Tesla, Citigroup, Apple And Zillow

If you added cannabis-focused real estate investment trust – Innovative Industrial Properties IIPR about a year ago, you’d be enjoying solid returns.

IIP is the first publicly traded company on the New York Stock Exchange to provide real estate capital to the regulated cannabis industry. Since its launch nearly eight years ago it has improved its sale-leaseback program to include cultivation, processing and retail properties with carefully chosen tenants that are licensed operators under long-term, triple-net leases.

Over the last 12 months, IIP's stock has outperformed some of the most popular stocks in the world, such as Tesla TSLA, Apple AAPL, Citigroup C and Zillow Group ZG. 

What's more, marijuana REIT has been paying consecutive quarterly dividends to its common stockholders since the second quarter of 2017. 

What is the best way for publicly traded marijuana companies to thrive and how to access capital amid challenging industry conditions will be one of many vital topics at the upcoming Benzinga Cannabis Capital Conference next week.

The San Diego, California-headquartered company has a market cap of $2.77 billion. Among its lessees are some of the largest cannabis operators like Curaleaf CURLF PharmaCann,CRLBF, The Cannabist Company CBSTF, Green Thumb Industries GTBIF, Holistic Industries, 4Front Ventures FFNTF, Parallel, and Ascend Wellness Holdings AAWH. 

As of December 31, 2023, IIP owns 108 properties comprising an aggregate of around 8.9 million rentable square feet across Arizona, California, Colorado, Florida, Illinois, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Nevada, New Jersey, New York, North Dakota, Ohio, Pennsylvania, Texas, Virginia, and Washington.

In its latest earnings report, the company reported net income attributable to common stockholders of approximately $41.3 million for the fourth quarter of 2023, representing a slight increase from $41.2 million in the fourth quarter of 2022. It also paid a quarterly dividend of $1.82  per common share on January 12, 2024, to stockholders of record as of December 29, 2023.

Here’s how returns break down from April 2023 to the present:

Tesla is down from $186.79 a share to $171.76 for a negative return of 8.05%;

Zillow Group is up from $43.81 to $44.40 for a return of 1.35%;

Apple is up from $160.10 a share to $167.78 for a return of 4.8%;

Citigroup is up from $47.20 to $60.18 for a return of 27.5%;

And finally, Innovative Industrial Properties is up from $71.77 per share to $97.79 for a return of 36.26%

The Benzinga Cannabis Capital Conference is returning to Florida, in a new venue in Hollywood, on April 16 and 17, 2024. The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow. Renowned for its trendsetting abilities and influence on the future of cannabis, mark your calendars – this conference is the go-to event of the year for the cannabis world. Get your tickets now on bzcannabis.com – Prices will increase very soon!

Photo: Courtesy of iQoncept via Shutterstock