Dividends4Life: High-Dividend Stock Yields Over 8%, With 18% Potential Upside, Goes Ex-Dividend This Week

Looking for underpriced high dividend stocks? Many of our articles have profiled undervalued basic materials high yielders, but this article will focus on a REIT, Colony Capital, (NYSE:CLNY), which has several shares, both preferred and common, that offer high yields and good coverage. One thing which caught our eye is how the market seems to be placing no value on the fact that CLNY improved its preferred dividend coverage with its Q2 2015 merger with Colony Capital - (merger details at the bottom of this article). Although its total preferred dividends paid rose by 64%, CLNY's net income jumped 463% in Q2 as a result of the merger.

These preferred shares are all perpetual, meaning that there is no mandatory maturity date. However, the earliest that CLNY can redeem the C Series preferred shares is April 2020, which gives you time enough to collect $8.02 in quarterly dividends. If CLNY doesn't redeem them then, they must continue paying you the same dividend. CLNY is riding the wave of increasing growth in both the residential and commercial real estate sectors. It has been one of the leading major publicly-traded investors in buying up and renting out foreclosed and single family homes since the crisis.

Source: Seeking Alpha

Related Articles:
- 26 Income Securities For A Well-Rounded Asset Allocation
- International Diversification May Be Closer than You Think
- 10 Small/Mid-Cap Dividend Growth Stocks Answering The Call
- Free Cash Flow Payout vs. Dividend Payout
- 8 Dividend Stocks With The Right Stuff

Click here to have future posts delivered to you for free!



Post a Comment

Note: Only a member of this blog may post a comment.


Popular Posts Last 30 Days