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CYS Investments (CYS) declares $0.45/share quarterly dividend, 10% decrease from prior dividend...

CYS Investments (CYS) declares $0.45/share quarterly dividend, 10% decrease from prior dividend of $0.50. Forward yield 12.35%. For shareholders of record Sep 26. Payable Oct 17. Ex-div date Sep 24. Shares -0.6% AH. (PR)
Comments (6)
  • kingdad
    , contributor
    Comments (1023) | Send Message
     
    Somewhat expected due to marketplace and their hedging. perhaps a touch much but still a fine dividend. Would expect the stock to dip some as a result. methinks they are fearful of the threat of the Fed entering the MBS marketplace and disrupting the overall performance of the sector. Will have to wait for more thorough analysis and input from the company itself.
    11 Sep 2012, 04:31 PM Reply Like
  • BenWright
    , contributor
    Comments (8) | Send Message
     
    Hi, I am an old Navy Guy. I served 4 years and was proud to do so. I saw combat in 4 different battle zones in Korea. I was told by my comanding officer that I had earned a Bronz Star which means that I was in 5 battle zones. I don't remember how many. To see the remarkable progress of South Korea I would gladly do it again.
    After the war I came home and went to school, became a teacher and taught school for 26 years. I used my 4 years service time to finish out 30 years for retirement purposes.
    I am now trying to make an extra buck trading stock. I need all the help you guys can give me. It will be greatly appreciated. BenWright
    11 Sep 2012, 08:00 PM Reply Like
  • BenWright
    , contributor
    Comments (8) | Send Message
     
    Can some one tell me why CYS lowered their dividend?
    11 Sep 2012, 08:08 PM Reply Like
  • kingdad
    , contributor
    Comments (1023) | Send Message
     
    Ben 1st Thank you for your service(fm a VEV guy).

     

    welcome to SA and yes you can learn a lot here so do subscribe to the daily and weekly items that are interest to you. You should quickly learn who and whom not to listen to for good advice and insights.

     

    All that being said, CYS cut dividends due to a reduced rate of return on their investments. their CEO had a nice little spiel about that and other points in this Mornings offerings ( I couldn't find the link though maybe check your emails.) that helps to explain it.
    12 Sep 2012, 09:24 AM Reply Like
  • mpgandolfo
    , contributor
    Comment (1) | Send Message
     
    Does anyone think that this decrease will spread to other mortgage REITS such as NLY?
    12 Sep 2012, 04:25 PM Reply Like
  • kingdad
    , contributor
    Comments (1023) | Send Message
     
    There is a distinct possibility that other Reits and mReits may lower their dividends in the coming Qtrs. this could be due to additional Fed intervention within this sector. However the sector will remain strong, esp. when compared to others and the overall rate of return should continue to outpace the rest of the market, IMHO and that of many others more knowledgeable than I.
    12 Sep 2012, 05:15 PM Reply Like
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