Despite the coronavirus crisis, S&P has rallied 46% in the last 12 months, to new all-time highs, and thus it is now trading at a trailing price-to-earnings ratio of 33.8. As a result, it
Preferred Apartment Communities: Its 6.8% Dividend Yield Is Not Entirely Safe
Summary
- APTS is offering a 6.8% dividend yield.
- The attractive dividend yield and the reasonable payout ratio of 81% are likely to entice some income-oriented investors.
- However, APTS has a high debt load and spends excessive amounts on preferred dividends.
I am a chemical engineer with a MS in Food Technology and Economics, and a MENSA member. I am the author of the book "Investing in Stocks and Bonds: The Early Retirement Project" (2024):I am also the author of the book "Mental Math: How to perform math calculations in your mind".I am also the author of 2 other mathematics books ("Arithmetic calculations without a calculator" and "Word Problems") and perform almost all the calculations in my mind, without a calculator, making it easier to make immediate investing decisions among many alternatives. I invest applying fundamental and technical analysis and mainly use options as a tool for both investing and trading. I achieved my goal of financial independence at the age of 45. In my spare time, I follow Warren Buffett's principle: "Some men read playboy. I read financial statements".
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