We all love high-yield stocks. But the reality is that not all high-dividend stocks on the market are worth investing your hard-earned money in. There is one group of companies that is known for providing reliable income to dividend investors: real estate investment trusts (REITs). So long as they distribute at least 90% of their earnings to shareholders, REITs are exempt from corporate income taxes. But not all REITs are the same. For instance, retail REITs and office REITs could see their financials deteriorate when a recession hits and business slows down.
One type of REIT, however, has proven to be mostly resilient: healthcare REITs. The idea is that whether the economy is booming or not, those who need long-term care will seek to get it. That is, the demand for healthcare REITs could be relatively inelastic to economic cycles. That’s one of the reasons why I believe Welltower Inc (NYSE:HCN) stock could be a great addition to a dividend investor’s portfolio. Welltower is a real estate investment trust that invests in senior housing operators, post-acute care providers, and health systems. The company was founded in 1970 and is headquartered in Toledo, Ohio. Welltower now owns more than 1,400 properties in major, high-growth markets in the U.S., Canada, and the U.K.
Source: Income Investor
Related Articles:
- 7 Dividend Stocks With A Low Payout Ratio
- 5 Dividend Stocks Beating the S&P With Positive Returns In Excess of 50% YTD
- Income Annuities vs. Dividend Stocks
- 8 Select High-Yield S&P 500 Dividend Stocks
- Your Greatest Wealth Building Asset
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Today, we’ll look at three high-yield dividend stocks that have earned a ‘perfect 10’ from the Smart Score. For investors seeking a clear fo...
-
Many companies have been suspending their dividends during the COVID-19 crisis, and in many cases it is understandable. In times of economic...
-
While near-term fluctuations in the stock market can be unpredictable, dividends are one of the few reliable sources of market returns. Stoc...
-
“Research shows that dividend cuts are associated with significant share price declines on announcement,” Cornell University Professor of Fi...
-
AbbVie (NASDAQ:ABBV) is in the midst of a transition. AbbVie began life about a decade ago when it was spun off from health care and medical...
-
With interest rates at historic lows and bond-yields heading down quickly, the payouts from dividend stocks are becoming more and more appea...
-
3M Company (NYSE:MMM) is growing its FCF very well, and as a result, MMM stock is likely to move up at least 44% over the next or so. Right ...
-
Dividend investing is a great way for investors to earn reliable income. Dividend stocks tend to have stable, cash-generating business model...
-
We’ve pulled up the details on some of Oppenheimer's recommendations. These are stocks with a specific set of clear attributes, that fre...
-
Warren Buffett has said the best time to sell is never, and though he often doesn't follow his own rules -- as the recent sale of all th...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.