Kinder Morgan, Inc. (NYSE: KMI) today announced that its board of directors approved a cash dividend of $0.25 per share for the second quarter ($1.00 annualized) payable on August 15, 2019, to common stockholders of record as of the close of business on July 31, 2019. KMI is reporting second quarter net income available to common stockholders of $518 million, compared to a net loss of $180 million in the second quarter of 2018; and distributable cash flow (DCF) of $1,128 million, a 1 percent increase over the second quarter of 2018.... more
Visa Inc. (NYSE: V) today announced that on July 15, 2019, its Board of Directors declared a quarterly cash dividend of $0.25 per share of class A common stock (determined in the case of class B and C common stock and series B and C convertible participating preferred stock on an as-converted basis), payable on September 3, 2019, to all holders of record as of August 16, 2019.... more
Colony Credit Real Estate, Inc. (NYSE: CLNC) (“Colony Credit Real Estate” or the “Company”) today announced that the Company’s Board of Directors has declared its monthly cash dividend of $0.145 per share of class A common stock (the “Common Stock”) for the monthly period ended July 31, 2019. The Common Stock dividend will be paid on August 9, 2019, to stockholders of record on July 31, 2019. This dividend represents an annualized dividend of $1.74 per share of Common Stock.... more
Republic Bancorp, Inc. (Nasdaq: RBCAA), parent company of Republic Bank & Trust Company, declared a cash dividend of $0.264 per share on Class A Common Stock and $0.24 per share on Class B Common Stock, payable October 18, 2019 to shareholders of record as of September 20, 2019.... more
As someone that follows the financial markets on a daily basis, it sometimes feels as though there is a war going on between bears, who point to an increasing amount of data that points to a weakening economy, and bulls, who largely point to the Federal Reserve in one way or another as a major factor driving the markets higher. Thus far, the bulls appear to be winning as the market continues to soar ever higher. It can be difficult for an ordinary individual trying to achieve their own financial goals to know what to do.
One strategy that can be employed in such a situation is to invest in things that should do reasonably well in any economic climate. One such example is healthcare, which is about as defensive as one can get since people that need healthcare will generally attempt to... more
Assumptions can be a useful tool when trying to examine the impact of a hypothetical scenario, especially when investing. For instance, it would be necessary to use assumptions when forecasting expected dividend income. When I perform a task like this, I like to establish a range that I can reasonably expect will occur.
Worst-case scenario Baseline scenario Above-average scenario The point of making different assumptions is to build a range that we expect our true scenario will fit into. I consider these type of assumptions to be useful because its primary goal is to help the investor set reasonable expectations about what is likely going to happen.
At the same time, assumptions can be dangerous when we rely on them to explain complicated situations that are often... more
Vanguard High Dividend Yield Index Fund (VYM) focuses on large cap high-yield dividend stocks in the U.S. This fund tracks the FTSE High Dividend Yield Index. The fund constructs its portfolio based on dividend yield and market capitalization. Its market-cap weight approach is advantageous as it helps to minimize the risk of dividend cuts in its portfolio of stocks considerably. VYM has lower exposure to higher growth technology stocks than the S&P 500 Index. On the other hand, it has more exposure to defensive stocks than the broader index. For conservative investors, VYM appears to be a good choice as it offers high dividend yield than the S&P 500 Index. Its performance was also decent, though slightly lower than the S&P 500 Index’s return.
Valley National Bancorp (VLY), a bank holding company, is currently providing an attractive dividend yield of 4.12%. The company has a history of dividend cuts, however we believe that chances of a cut in 2019 are almost non-existent. We are confident that VLY will maintain its cash dividend because we expect earnings to increase in 2019, and because the company is currently at a comfortable payout ratio. Further, our valuation analysis shows that the company is currently undervalued, and therefore has the potential for price appreciation.
Still, we caution that risks are high for this bank because it had a loan portfolio related to taxi medallions worth $130.2 million as of December 2018. Fortunately, some allowance has already been booked as the company has recognized that outlook... more
In a recent article, I explained why the Real Estate sector is a top-three sector for dividend-growth investors to target this quarter. In this quarter, I will dig deeper into the sector and highlight opportunities for yield, yield growth, and capital gains within the equity market that are not REITs.
To start, the Real Estate sector is a tricky one from the equity perspective. You can't just go out and buy a share in a real estate development. There are ways to gain access, REITs are the most popular, but they have drawbacks. The primary is tax liabilities, REITs are a tax-sheltered investment vehicle which means additional tax burden for your portfolio. REITs are a fine investment, I'll highlight a few of them in another article, but not always appropriate within a portfolio.
Penns Woods Bancorp, Inc, (PWOD), a bank holding company, provides a high forward dividend yield of 4.29%. We are highly confident that PWOD will be able to maintain its dividends in 2019 because we expect the company’s earnings to increase in 2019, and also because the company has a good track record of consistently paying dividends. Our valuation analysis, however, shows that the bank is currently fairly valued in the market. Details of our earnings and valuation analysis follow.
PWOD Appears Attractive Due to High Dividend Yield and Stable Dividends
PWOD offers a high dividend yield of 4.29% with a very consistent quarterly dividend of USD 0.47. The company has been maintaining this level since the first quarter of 2012. The Directors of the company appear to be committed to... more