Summary

• I like using the AFFO formula because it breaks out the CapEx mystery and provides a better barometer for determining dividend performance.


• In a few days, I plan to put together a comprehensive article on the "low CapEx REITs".


• At same point, perhaps the market will identify with Iron Mountain's low-CapEx business model and rationalize the value proposition centered on reliable profits.

  
  Most REIT analysts use Adjusted Funds from Operations, or AFFO, to measure a REIT's residual cash flow. This non-GAAP measure provides a more accurate base number when estimating values, and is a more predictable way to analyze a REIT's future ability to pay dividends.