This Investment Trust has two preferred shares. One is significantly better than the other at current prices. Investors should be looking to preferred shares for less volatility, higher yields, and relatively less risk. However, these preferred shares do carry material risk and are better suited for trading.
PennyMac Mortgage Investment Trust (PMT) has two preferred shares we will be looking at today: (PMT.PA) and (PMT.PB). When looking at preferred shares, it's important to understand the underlying company. The major reason for this is investors should know how risky their investment is. In the case of PMT preferred shares, I view them as relatively risky. PennyMac is more complicated than most mortgage REITs. The company is trading at a material discount to book value compared to peers across the sector. Even with their rally in 2018, the company is still well below average.
Source: Seeking Alpha
Related Articles:
- 6 Higher-Yielding Consumer Stocks With A History of Rising Dividends
- Are Defense Stocks Good Defensive Stocks?
- 10 Stocks That Have Paid Uninterrupted Dividends Since 1895
- Who is David Dodd and Why Should We Listen to Him
- International Securities For A Diversified Income Portfolio
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
There’s nothing more satisfying that getting money for doing nothing. That’s why dividend stocks hold so much appeal for portfolios. Many of...
-
We've broadened our search to the S&P 500, and also found two high-dividend stocks among the dividend yield leaders of that larger i...
-
The truth is, some of the best dividend stocks can be found outside the United States. The world is filled with a variety of strong multinat...
-
I believe in dividend growth investing and consider holding strong companies will help me going through any stock market storm. I believe di...
-
Dividend stocks can be a great source of passive income. Not only do they deliver cash into your brokerage account on a recurring basis, but...
-
Generally speaking, the higher the yield, the higher the risk involved. Since yield is a function of share price, a failing business model w...
-
With bond rates already low and the Fed hinting at rate decreases, dividend stocks are in high demand these days, as alternatives in the fix...
-
What kind of income-generating assets make the most sense? Obviously, those that appear undervalued with respect to the basket/group of stoc...
-
Warren Buffett famously quipped that if you aren't willing to own a stock for 10 years, you shouldn't think about owning it for 10 m...
-
If you are retired, you have likely shifted from building your nest egg to living off your assets. That means you probably gravitate toward ...
0 comments
Post a Comment
Post a Comment