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Due to a rough debt market, these names offer an attractive proposition for yield-seekers. All of these are preferred stocks that have been issued this year.

Inland Real Estate Corp., 8.125% Series A Cumulative Redeemable Preferred Stock (IRC.PA): IRC is a REIT, with nearly $1.9 billion in asset acquisition value. It has solid and quite high net operating cash flow of $53 million, which has always been positive for the last 5 years, and almost reached the $60 million level in 2010. Preferred dividends have always been paid, and this cash flow reliability leads me to expect them to keep being paid in the future. The current ratio is only 0.28, but the preferreds have a lot of assets behind them.

Symbol

Close

52 Week High

52 Week Low

Div $

Yield %

Vol

Inland Real Estate Corp., 8.125% Series A Cumul Redeem Pfd

IRC.PA

24.75

6,090

25.05

24.65

0.22

8.13

Pebblebrook Hotel Trust, 8.00% Series B Cumulative Redeemable Preferred Shares (PEB.PB): This hotel investment company was founded just two years ago, so it is difficult to give a real assessment of its situation. For now, PEB's cash flow situation is healthy, with a $3.45 million net operating cash flow. Its earnings are negative this year, at -0.11. However, earnings expectations are positive going forward. The current ratio is 1.07, which implies safety, and there is $140 million in cash on the balance sheet.

Symbol

Close

52 Week High

52 Week Low

Div $

Yield %

Vol

Pebblebrook Hotel Trust, 8.00% Series B Cumul Redeem Pfd

PEB.PB

23.95

3,910

25.15

21.92

0.13

8

Apartment Investment and Management, 7.00% Class Z Cumulative Preferred Stock (AIV.PZ): AIV has a quick ratio of 1.60 and solid operating cash flow of $241 million. The Class Z preferreds yield a solid 7% when compared to the common shares' dividend yield of 1.9%. The preferreds are a safe, solid bet, and, in my opinion, a superior deal when compared to the riskier, junior common stock.

Symbol

Close

52 Week High

52 Week Low

Div $

Yield %

Vol

Apartment Investment and Management, 7.00% Class Z Cumul Pfd

AIV.PZ

23.8

1,530

24.25

21.54

0.36

7

Public Storage Inc., 6.35% Cumulative Preferred Stock, Series R (PSA.PR): Public Storage (NYSE:PSA) is a real estate investment trust which operates for both businesses and personal use. Its $644.52 million net income proves its profitability, while its net operating cash flow, which has been above the $1 billion level since 2007, demonstrates to its shareholders that it is a very solid company. The current ratio stands at a health 3.32.

Symbol

Close

52 Week High

52 Week Low

Div $

Yield %

Vol

Public Storage Inc., 6.35% Dep Cumul Pfd, Series R

PSA.PR

25.84

84,678

25.89

22.78

0.29

6.35

PartnerRe Ltd, 7.25% Series E Cumulative Redeemable Preferred Shares (PRE.PE): Reinsurance is a great business, and PRE is one of the best reinsurers on an operating basis. This is supported by its strong $852 million net income, and, most of all, by its net operating cash flow that has been over $1 billion for the last four years, reaching a $1.23 billion peak in 2010. With a current ratio of 6.9, PRE is a very reliable company, and preferred shareholders will be certainly satisfied.

Symbol

Close

52 Week High

52 Week Low

Div $

Yield %

Vol

PartnerRe Ltd, 7.25% Series E Cumul Redeem Pfd

PRE.PE

25.64

45,726

25.9

22.19

0.38

5.95

CommonWealth REIT, 7 1/4% Series E Cumulative Redeemable Preferred Shares (CWH.PE): CWH has $800 million in revenue, and its net operating cash flow has always been between $200 million and $300 million over the last 5 years. Moreover, its cash levels were boosted by $176 million in 2010. The common shares yield over 10%, which I think offer a better bet than the preferreds in this case since the company is on solid footing.

Symbol

Close

52 Week High

52 Week Low

Div $

Yield %

Vol

CommonWealth REIT, 7 1/4% Series E Cumul Redeem Pfd

CWH.PE

24.56

8,063

25.15

21.4

0.45

7.38

Endurance Specialty Holdings Ltd, 7.50% Non-Cumulative Preferred Shares, Series B (ENH.PB): Endurance is a reinsurer with revenue of nearly $2 billion. The company’s liquidity is solid, with $1.05 billion in cash against $613 in debt. Its net operating cash flow is above $400 million. With a current ratio above 1.7, ENH is a safe bet for yield-seekers.

Symbol

Close

52 Week High

52 Week Low

Div $

Yield %

Vol

Endurance Specialty Holdings Ltd, 7.50% Non-Cumul Pfd, Series B

ENH.PB

24.9

16,911

25.5

20.52

0.47

7.5

Source: 7 Attractive Preferred Stocks For Income Investors