Maui Land & Pineapple: Not Very Suited To An Inflationary Environment

Summary Maui Land & Pineapple Company remains deeply discounted relative to the potential value of its land holdings - but market participants likely already perceive this. Execution and rate environment risks justify the persistent (apparent) MLP valuation discount. In a rising rate environment, trading dynamics, also linked to the effect on business fundamentals, also play unfavorably for the stock relative to alternatives. MLP's recurring revenues are rising due to new agricultural leases and recovering tourism, but ad hoc land sales have declined post-wildfire relief. Looking for a helping hand in the market? Members of The Value Lab get exclusive ideas and guidance to navigate any climate. Learn More » Philip Thurston/E+ via Getty Images Maui Land & Pineapple Company, Inc. ( MLP ) logged in a decent quarter, reflecting mainly new agricultural leases signed and a gradual growth in the recurring revenue base on that basis, as well as some vector of benefit from recovering tourist volumes. This article was written by Valkyrie Trading Society 5.62K Followers Follow The Valkyrie Trading Society is a team of analysts sharing high conviction and obscure developed market ideas that are downside limited and likely to generate non-correlated and outsized returns in the context of the current economic environment and forces. They are long-only investors.They lead the investing group The Value Lab where they offer members a portfolio with real time updates, chat to answer questions 24/7, regular global market news reports, feedback on member stock ideas, new trades monthly, quarterly earnings write-ups, and daily macro opinions. Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. 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.