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In a recent article, “7 Newly Issued Corporate Bonds For Yield-Hungry Investors,” I presented seven corporate bonds that were newly issued during the first half of November and have begun trading on the secondary market. In early November, there were numerous corporations issuing debt, attempting to take advantage of what they perceived as favorable interest rates. As a follow up to the previous article, I would like to present six more corporate bonds issued in early November. Three of these notes are currently being offered on the secondary market. At the time this article was written, I was unable to find offers for the other three, but they could be added to your shopping list for future opportunities to buy, if you are so inclined.

Amgen’s (NASDAQ:AMGN) Senior note (CUSIP: 031162BK5) maturing 11/15/2041 has a coupon of 5.15% and is asking 97.636 cents on the dollar (5.308% yield-to-maturity before commissions). It has a make whole call, conditional puts for a change of control, and pays interest semi-annually. Moody’s currently rates the bond at Baa1, S&P at A+. The bond was originally offered at a price of 99.168. The offer size was $2.25 billion. Currently, the 11/15/2041 U.S. Treasury bond (CUSIP: 912810QT8) is yielding 2.98%, which is 232.8 basis points less than Amgen’s 11/15/2041 note.

UnitedHealth Group’s (NYSE:UNH) Senior note (CUSIP: 91324PBU5) maturing 11/15/2041 has a coupon of 4.625% and is asking 101.102 cents on the dollar (4.556% yield-to-call before commissions). It is callable beginning 5/15/2041 at the greater of 100 or make whole, has conditional puts for a change of control, and pays interest semi-annually. Moody’s currently rates the bond at A3, S&P at A-. The bond was originally offered at a price of 98.752. The offer size was $600 million. Currently, the 11/15/2041 U.S. Treasury bond (CUSIP: 912810QT8) is yielding 2.98%, which is 157.6 basis points less than UnitedHealth Group’s 11/15/2041 note.

Halliburton’s (NYSE:HAL) Senior note (CUSIP: 406216BA8) maturing 11/15/2041 has a coupon of 4.50% and is asking 102.641 cents on the dollar (4.34% yield-to-call before commissions). It is callable beginning 5/15/2041 at the greater of 100 or make whole and pays interest semi-annually. Moody’s currently rates the bond at A2, S&P at A. The bond was originally offered at a price of 99.494. The offer size was $500 million. Currently, the 11/15/2041 U.S. Treasury bond (CUSIP: 912810QT8) is yielding 2.98%, which is 136 basis points less than Halliburton’s 11/15/2041 note.

Mattel’s (NASDAQ:MAT) Senior note (CUSIP: 577081AW2) maturing 11/1/2041 has a coupon of 5.45% and last traded at 101.935 cents on the dollar (5.319% yield-to-maturity before commissions). It is callable beginning 5/1/2041 at the greater of 100 or make whole, has conditional puts for a change of control, and pays interest semi-annually. Moody’s does not currently rate this bond, while S&P rates it BBB+. The bond was originally offered at a price of 99.446. The offer size was $300 million. At the time this article was written, I was unable to find any offers for this bond on the secondary market. Currently, the 11/15/2041 U.S. Treasury bond (CUSIP: 912810QT8) is yielding 2.98%, which is 233.9 basis points less than Mattel’s 11/15/2041 note.

Zimmer Holdings’ (NYSE:ZMH) Senior note (CUSIP: 98956PAC6) maturing 11/30/2021 has a coupon of 3.375% and last traded at 98.873 cents on the dollar (3.52% yield-to-maturity before commissions). After 8/30/2021, it is continuously callable at par and pays interest semi-annually. Moody’s currently rates the bond at Baa1, S&P at A-. The bond was originally offered at a price of 99.821. The offer size was $300 million. At the time this article was written, I was unable to find any offers for this bond on the secondary market. Currently, the 11/15/2021 U.S. Treasury note (CUSIP: 912828RR3) is yielding 1.96%, which is 156 basis points less than Zimmer Holdings’ 11/15/2021 note.

Encana’s (NYSE:ECA) Senior note (CUSIP: 292505AK0) maturing 11/15/2041 has a coupon of 5.15% and last traded at 98.023 cents on the dollar (5.281% yield-to-maturity before commissions). After 5/15/2041, it is continuously callable at par and pays interest semi-annually. Moody’s currently rates the bond at Baa2, S&P at BBB+. The bond was originally offered at a price of 99.289. The offer size was $400 million. At the time this article was written, I was unable to find any offers for this bond on the secondary market. Currently, the 11/15/2041 U.S. Treasury bond (CUSIP: 912810QT8) is yielding 2.98%, which is 230.1 basis points less than Encana’s 11/15/2041 note.

Given the longer-term nature of most of these bonds and the general fear that seems to pervade the investment community regarding inflation and currency debasement, a reluctance to purchase long-term bonds is understandable. Furthermore, given that many investors like to reinvest dividends back into the stock of the company from which they came, or invest in a company that has a history of increasing its dividend over time, it is even more understandable that some people would shy away from a fixed coupon. One idea to help ease those concerns is to take the interest payments from the bonds and reinvest them, post tax, into an asset with theoretically unlimited capital appreciation potential. Such an asset could be the common stock of the company of which you own the bond, or something completely different, such as gold or silver.

If you are interested in purchasing any of these securities but are nervous about current economic conditions wreaking havoc on your portfolio over the coming months, learn how to hedge individual bonds in, “Protect Your Income Portfolio With Cross-Asset Hedging.”

Please be aware that prices in the over-the-counter U.S. bond market may vary depending on the broker you use. The current prices may also differ greatly from those listed at the time this article was written.

Also, please do your own due diligence on the financial profiles of the companies mentioned in this article. Only you can determine if taking the counterparty risk of purchasing individual bonds is suitable for you.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: 6 Additional, Newly-Issued Corporate Bonds For Yield-Hungry Investors