The ten preferred stocks below have high dividend yields and they are all listed on the New York Stock Exchange. Most of them are good investment opportunities too, because of their strong income expectations.
GMX Resources Cumulative Preferred Series B (GMXR.P): Last year GMX Resources faced a $141.1 million loss, but this oil and gas production and exploration company has strong margins: these losses are probably just a temporary phenomenon and preferred shareholders are likely to be paid.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
GMX Resources, 9.25% Series B Cumul Pfd | GMXR.P | 16.60 | 16.93 | 16.00 | 16.00 | 0.60 | 0.10 | 17,320 | 25.66 | 12.02 | 0.58 | 14.45 | |
Bank of America Dep Shares (BAC.PH): BofA is too big to fail, so investors don’t have to worry about their money. This being said, the bank’s situation is not good, but analysts are optimistic about its evolution. Since its stock price is very close to last year’s low, now it is the right moment to buy, and its $9.40 billion EBITDA is a good guarantee that dividends will be paid.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
Bank of America, 8.20% Dep Non-Cumul Preferred, Series H | BAC.PH | 22.63 | 22.51 | 22.80 | 22.54 | 0.02 | 0.10 | 445,113 | 26.80 | 17.72 | 0.52 | 9.09 | |
Ashford Hospitality Trust Cumulative Preferred Series E (AHT.PE): This REIT is not as big as the ones below, but it is currently quite healthy, despite last year’s negative net income. It is paying a $0.40 dividend per share, and its strong margins lead me to believe that it will keep paying shareholders, as it has done so far.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
Ashford Hospitality Trust, 9.00% Series E Cumul Pfd | AHT.E | 23.17 | 23.45 | 23.02 | 23.44 | -0.04 | -0.16 | 17,396 | 25.53 | 21.09 | 0.56 | 9.60 | |
Zions Bancorporation Dep Preferred Non-Cumulative Perpetual Series C (ZB.PC): This financial company is recovering fast from the crisis, and has kept its interest margin positive. Analysts estimate that its earnings per share are likely to grow over the next two years. At the end of August, Zions Bancorp paid a $0.6069 quarterly dividend to the shareholders of this series.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
Zions Bancorp, 9.50% Dep Series C Non-Cumul Perp Pfd | ZB.PC | 25.21 | 25.43 | 25.21 | 25.25 | 0.00 | 0.00 | 107,905 | 27.00 | 24.00 | 0.61 | 9.61 | |
Newcastle Investment Cumulative Redeemable Preferred, Series B (NCT.PB): Newcastle Investment’s operating free cash flow has decreased over the last three years, but has increased over the first half of 2011. Preferred shareholders have always been paid recently, and they are likely to keep being satisfied in the future.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
Newcastle Investment 9.75% Series B Cumul Redeem Pfd | NCT.PB | 23.64 | 24.39 | 23.64 | 24.21 | 0.76 | 3.24 | 2,155 | 26.50 | 17.68 | 0.61 | 10.07 | |
PNC Financial Services Group, Dep Shares Fixed-Float Non-cumulative Preferred, Series F (PNC.PL): It is a very healthy company, with strong net income ($3.41 billion) and outstanding margins ($6.31 billion EBITDA). Shareholders’ payments are guaranteed and it will probably be a great investment too. Buying this stock is strongly recommended.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
PNC Financial Services, 9.875% Dep Fix-Flo Non-cum Pfd | PNC.PL | 27.65 | 28.05 | 27.57 | 27.65 | 0.00 | 0.00 | 26,515 | 29.64 | 24.90 | 0.62 | 8.94 | |
Montpellier RE Holdings Non-Cumulative Preferred, Series A (MRH.PA): MRH is a solid company, with positive financials, even if they are not so high. Its operating margin is 9.70%, and EBITDA is above 235.30, so further dividends are very likely to be paid.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
Montpelier RE Holdings Ltd, 8.875% Non-Cumul Pfd, Series A | MRH.PA | 25.34 | 25.50 | 25.34 | 25.34 | 0.00 | 0.00 | 16.584 | 26.81 | 21.50 | 0.55 | 8.70 | |
RAIT Investment Trust, Cumulative Redeemable Preferred, Series C (RAS.PC): What we said for MRH, above, can be applied to RAS too: quite high figures, positive outlooks and good reliability make RAIT Investment Trust a good buy for income investors, and even more worthy for Preferred shareholders.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
RAIT Investment Trust, 8.875% Series C Cumul Redeem Pfd | RAS.PC | 20.04 | 20.04 | 19.97 | 20.02 | 0.17 | 0.86 | 5,885 | 24.57 | 17.46 | 0.55 | 11.08 | |
Santander Finance Preferred Non-Cumulative Guaranteed, Series 10 (STD.PE): Banco Santander seems to be recovering from the problems it recently faced. Its margins are solid (EBITDA is $33.55 billion, Operating margin 36.30%), and it has great net income ($10.90 billion), but its stock price dropped by 35%. Regardless of these figures, my own opinion is that Banco Santander will recover fast, and its near 10% dividend yield will be paid to its preferred shareholders.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
Santander Finance Pfd, 10.5% Non-Cumul Guar Series 10 | STD.PE | 26.48 | 26.50 | 26.33 | 26.26 | 0.22 | -1.37 | 90,315 | 29.48 | 25.00 | 0.66 | 9.96 | |
Seaspan Corporation Cumulative Redeemable Perpetual Preferred, Series C (SSW.PC): This containership company promises a good 9.50% dividend yield, but actually it is slightly below this value. This is because of the results achieved by the company, that were highly below their own expectations, and reflects on its stock price too, which currently is very close to its 52-week low. I don’t recommend this stock, at least in the short period.
Symbol | Open | High | Low | Close | Net Chg | %Chg | Vol | 52 Week High | 52 Week Low | Div | Yield | ||
Seaspan Corp., 9.50% Series C Cumul Redeem Perp Pfd | SSW.PC | 25.72 | 25.90 | 25.72 | 25.62 | 0.00 | 0.00 | 22.307 | 29.33 | 25.03 | 0.60 | 9.27 | |
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
