CHMI

Dividend Increases/Decreases for the Week of September 19

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Below we provide a list of firms that raised their dividends during the week ending September 19. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week                          Adamas Trust (ADAM): now $0.23 per share quarterly dividend, was $0.20. Apartment Investment (AIV): now $2.23 per share special dividend, was $0.60. Banco Macro (BMA): now $0.3665 per share quarterly dividend, was $0.3658. CareRx (CRRX:CA): now CAD 0.02 per share quarterly dividend. Cherry Hill Mortgage Investment Corporation 8.250 CUM PFD B (CHMI.PR.B): now $0.6523 per share quarterly dividend, was $0.6413. Cross Timbers Royalty Trust … Read more

How Some Members Use Valuentum’s Investment Services

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By Brian Nelson, CFA Thank you for your membership to Valuentum. We serve a wide variety of investors, including dividend growth investors, value investors, and pure Valuentum investors, among others. Many different types of investors and professionals use our research and financial analysis in a whole host of applications from individual stock-selection to the evaluation of closed-end funds to an overlay in a money-management setting and beyond. We wanted to make sure that you know that, if you’re a dividend growth or income investor, that there are others that use our website to utilize the Valuentum process, fair value estimates and other metrics. Similarly, if you’re a practitioner of the Valuentum system, I wanted to make sure that you are … Read more

Dividend Increases/Decreases for the Week of June 16

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Below we provide a list of firms that raised their dividends during the week ending June 16. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week                          Banco Bradesco (BBD): now $0.0039 per share monthly dividend, was $0.0035. Bank First (BFC): now $0.30 per share quarterly dividend, was $0.25. Caterpillar (CAT): now $1.30 per share quarterly dividend, was $1.20. CT Real Estate Investment Trust (UN:CA): now CAD 0.0749 per share monthly dividend, was CAD 0.0723. Essential Properties (EPRT): now $0.28 per share quarterly dividend, was $0.275. Host Hotels & Resorts (HST): … Read more

Stay Away from Mortgage REITs!

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Image Source: Mortgage REITs have underperformed the broader stock market for years, and we don’t think individual investors and financial advisors should be dabbling in the mortgage markets via these instruments. By Brian Nelson, CFA On September 28, mortgage REIT (“mREIT”) Invesco Mortgage Capital (IVR) cut its dividend 28%, to $0.65 per common share. The bond markets have been experiencing a lot of pain of late, and mortgage rates have shot up considerably since the Fed started hiking. We think this spells trouble for mortgage REITs, which already suffer from highly unpredictable mortgage market dynamics. So far in 2022, the iShares Mortgage Real Estate Capped ETF (REM) has fallen more than 40% (on a price-only basis), and while its forward … Read more

Mortgage REITs Have Underperformed Significantly the Past Several Years

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Image: An ETF that tracks the mortgage REIT industry has fallen more than 31% on a price-only basis, while an ETF that tracks the S&P 500 has advanced more than 160% on a price-only basis, as measured from May 2013. By Brian Nelson, CFA Mortgage REITs (REM) are popular vehicles because of their deceptively enticing dividend yields, but we’ve never been bullish on the group. We’re reiterating our take today that these instruments are not for the individual investor or even prudent financial advisor and are more complicated vehicles than many investors believe. In May 2013, we first starting warning about the group, and the performance, as shown in the image above, hasn’t been pretty. On a price-only basis, the … Read more

ICYMI: Valuentum’s Brian Nelson on the Latest Howard Marks’ Memo: “Something of Value”

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Valuentum’s President of Investment Research Brian Michael Nelson, CFA, explains why there are not really value and growth stocks, why most of the research in quantitative finance is spurious and needs to be redefined on a forward-looking basis, and why enterprise valuation (not the efficient markets hypothesis) should be the organizing principle of finance. Nelson explains his views about valuation, what it means to be a value investor, and investing in the context of Oaktree Capital Howard Marks’ latest memo, “Something of Value,” January 11, 2021. Please don’t forget to give the second edition of the book “Value Trap” a 5-star rating on Amazon here. Thank you for your membership! —– Tickerized for holdings in the IWM. Valuentum members have … Read more

Value Is Not Static and the Qualitative Overlay Is Vital to Our Process

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With prudence and care, the Valuentum Buying Index process and its components are carried out. Our analyst team spends most of its time thinking about the intrinsic value of companies within the context of a discounted cash-flow model and evaluating the risk profile of a company’s revenue model. We have checks and balances, too. First, we use a fair value range in our valuation approach as we embrace the very important concept that value is a range and not a point estimate. A relative value overlay as the second pillar helps to add conviction in the discounted cash-flow process, while a technical and momentum overlay seeks to provide confirmation in all of the valuation work. There’s a lot happening behind the scenes even before a VBI rating is published, but it will always be just one factor to consider. Within any process, of course, we value the human, qualitative overlay, which captures a wealth of experience and common sense. We strive to surface our best ideas for members.

Podcast: The Hazards of Mortgage REITs

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President of Investment Research Brian Nelson talks mortgage REITs and the concept of spread risk that may lead to steep book value declines and weakened dividend health across the industry. ~5 mins. If you cannot view the video below, please view the transcript that follows or select the link here. Kris Rosemann: Hi, I am Kris Rosemann for Valuentum Securities. Today on our podcast President of Investment Research Brian Nelson is going walk us through some of our thoughts on mortgage REITs (REM). Brian could you explain to us why we at Valuentum don’t like mortgage REITs and maybe go through some of the risks individual investors should be concerned with that are not as prevalent as a normal operating … Read more

Dividend Increases for the Week Ending June 13

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Below we provide a list of firms that raised their dividends during the week ending June 13. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Baytex Energy (BTE): now C$0.24 per share monthly dividend, was C$0.22. Best Buy (BBY): now $0.19 per share quarterly dividend, was $0.17. Caterpillar (CAT): now $0.70 per share quarterly dividend, was $0.60. Cherry Hill Mortgage Investment (CHMI): now $0.51 per share quarterly dividend, was $0.50. Essex Property Trust (ESS): now $1.30 per share quarterly dividend, was $1.21. FedEx (FDX): now $0.20 per share quarterly dividend, was … Read more

Dividend Increases/Decreases for the Week Ending June 19

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Below we provide a list of firms that raised their dividends during the week ending June 19. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week CBA Florida (CBAI): now $0.0062 per share liquidating distribution. Dividend 15 Split Corp IIA (DVDDF): now CAD 0.10 per share monthly dividend, was suspended. Dividend Select 15 (DVVDF): now CAD 0.0496 per share monthly dividend, was CAD 0.0489. Financial 15 Split Corp (FNNCF): now CAD 0.04583 per share monthly dividend, was CAD 0.0458. Franklin Limited Duration Income Trust (FTF): now $0.0736 per share monthly dividend, was … Read more