This stock has a yield of 12.64% and is selling for less than book


Apollo Commercial Real Estate Finance has been named as a Top 10 Real Estate Investment Trust, according to Dividend Channel, which its most recent ”DividendRank” report. The report noted that among REIT’s ARI stocks exhibited both attractive valuation metrics and strong profitability metrics. For example, the recent ARI share price of $11.08 represents a price-to-book ratio of 0.7 and an annual dividend yield of 12.64% – for comparison, the average share in Dividend Channel’s coverage universe yields 4.1% and trades at a price-to-book ratio of 2.5. The report also cited strong quarterly dividend history at Apollo Commercial Real Estate Finance Inc. and favorable multi-year long-term growth rates in key fundamental data points.

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The report stated: ”Dividend investors who approach investing from a value perspective are generally most interested in examining the strongest, most profitable companies, which also happen to trade at attractive valuations. That’s what we’re trying to find using our proprietary DividendRank formula, which ranks the coverage universe based on our various criteria for both profitability and valuation, to generate a list of the most “interesting” stocks, aimed at investors as a source of ideas worthy of further investigation.

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REITs have a special place in the hearts of dividend investors, as they must pay out at least 90% of their taxable income as dividends to shareholders each year. While this can provide high dividend yields, it also introduces some volatility and uncertainty in the level of payments from year to year – huge dividend payouts are common when a REIT makes big profits, versus smaller payouts or even periods of no dividends during times of recession. losses.

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The current annualized dividend paid by Apollo Commercial Real Estate Finance Inc. is $1.4/share, currently paid in quarterly installments, and the most recent dividend has an upcoming ex date of 9/29/2022. Below is a long-term dividend history chart for ARI, which the report stressed is critical. Indeed, studying a company’s dividend history can be a great help in assessing whether the most recent dividend is likely to continue.