The Globe and Mail reports in its Saturday edition that buying good companies whose shares are out of favour is a time-honoured investing strategy. The Globe's John Heinzl writes that with that in mind, he decided to increase his position in one of his portfolio's worst-performing stocks: Canadian Apartment Properties REIT. Cuts to immigration targets and an influx of new rental supply have delivered a double blow to the REIT. Higher interest rates have also hurt the unit price by driving up CAP REIT's borrowing costs and compressing REIT valuations. From its July high to December low, CAP REIT's unit price slumped about 24 per cent. Yet the REIT's fundamentals remain solid: The balance sheet is strong; the distribution -- which yields about 4 per cent -- is well covered by CAP REIT's cash flow; and the REIT is aiming to boost its bottom line by selling older, less profitable buildings and investing in newer properties that require less maintenance spending. In another positive signal, CAP REIT has resumed distribution hikes after leaving its payout unchanged for several years. The REIT raised its distribution by more than 3 per cent in each of 2024 and 2025, and Mr. Heinzl thinks there are more increases to come.