iStar Inc. (STAR) is engaged in providing advanced level and effective ground lease on established assets. The company utilizes its local investment system, finance fortes, and gross lease to increase the usage of the ground lease. The company had closed up to $40 billion transactions in two decades.
The price of STAR stock during the regular trading on January 28, 2021, was $21.22 with a gain of 2.51%. At last check in the premarket on January 31, 2022, the stock dipped by 15.1%.
STAR: Events and Happenings
On January 28, 2022, STAR reported about its common and preferred stock 2021 dividends’ tax treatment. On December 1, 2021, STAR reported about the modification to its conversion rate of 3.125% Convertible Senior Notes payable by 2022 as an outcome of common stock cash dividends rewarded on December 15, 2021.
STAR: Key Financials
On November 2, 2021, STAR announced its financial results for the third quarter ended September 30, 2021. Some of the key points are as follows.
Net Income per Share
Basic and diluted net income per share in Q3 2021 was $130.9 million or $1.71 (basic) and 1.51 (diluted) compared to $6.5 million or $0.03 (loss) in the same period of 2020.
Revenue
Revenue in the third quarter of 2021 was $195.4 million compared to $115 million in the same period of 2020.
Assets
Total current assets recorded for the company in Q3 2021 were $1358 million.
On October 29, 2021, STAR reported about the receipt of the requisite nod to implement the modifications to the indentures of its 4.75% Senior Notes due 2024, 2025, and 2026 in relation to solicitation of approval from the holders.
On September 22, 2021, STAR reported about the public pricing of its underwritten offering of 2,200,000 shares of its common stock. The shares were offered at a price of $76.00 per share to the public and net proceeds obtained were $167.2 million.
Conclusion
STAR stock downfall from the past six months period by 13% due to declining economic conditions. The current premarket drop in the stock is the consequence of the tax treatment announcement for 2021 dividends. The analysts have advised the company to plan the measures to attract potential investors.
