3 Passive 'SWAN' Stocks (Hint: They're Not REITs)

Jun. 06, 2025 7:00 AM ETOKE, ES, PNC23 Comments
(17min)

Summary

  • Buying and holding companies that provide reliable streams of passive income can help an investor stay one step ahead of bills.
  • In today's article, I'll highlight a major midstream player, an electric and gas utility, and a super-regional bank/financial services company.
  • Relative to my fair value estimates, the stocks vary from 9% to 16% discounted.
  • Each has established records as dividend payers, offers a well-covered and market-tripling 4.5% average yield, and sports BBB to A- S&P credit ratings.
  • The trio could each have teens to 20%+ fundamentally justified upside to my fair value estimates over the next year.

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This article was coproduced with Kody Kester

Bills are a fact of life.

There are housing expenses (mortgages, utilities, homeowners' insurance, maintenance, or rent).

Add in transportation costs (truck/car payments, insurance, repairs/maintenance, fuel).

Don't forget

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This article was written by

119.45K Followers

Brad Thomas has over 30 years of real estate investing experience and has acquired, developed, or brokered over $1B in commercial real estate transactions. He has been featured in Barron's, Bloomberg, Fox Business, and many other media outlets. He's the author of four books, including the latest, REITs For Dummies.

Brad, along with HOYA Capital, lead the investing group iREIT®+HOYA Capital. The service covers REITs, BDCs, MLPs, Preferreds, and other income-oriented alternatives. The team of analysts has a combined 100+ years of experience and includes a former hedge fund manager, due diligence officer, portfolio manager, PhD, military veteran, and advisor to a former U.S. President.

Note: Brad is also related to Nicholas Thomas who contributes to Seeking Alpha.

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Analyst’s Disclosure:I/we have a beneficial long position in the shares of OKE, MPLX either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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PNC--
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