Take Charge! W.P. Carey’s 6.3% Dividend Yield Stands Strong
- Today I am writing on one of my highest-conviction picks that scores well based on our durability scoring system.
- After reading this article, you will recognize the powerful drivers that make this REIT special, and perhaps you will even do what the rhinos do: take charge!
- It’s obvious to me, Carey is getting closer to acquiring CPA:17, and that should provide shareholders (in WPC) with an immediate jolt.
As Josh Peters, author of The Ultimate Dividend Playbook, explains, “durability implies that the firm can take a financial punch in one year and come back swinging the next”. Durability also suggests that “an earnings stream that, if not quite predictable in any one year, can be relied upon over a series of years, during which short-term fluctuations average out”.
When I select REITs for my Durable Income Portfolio, it’s important to select the most reliable performers. When I see a company with highly predictable earnings and dividend growth, it signals that the overall durability score is high and that there is enhanced opportunity for outperformance.
Recognizing that the vast majority of REITs have sold off year to date, I find myself working feverishly to focus on the most durable names. As a means to track all of the REITs in the Intelligent REIT Lab, I am in the process of updating all of the Rhino REIT scores – a process that allows subscribers to distinguish the most durable REITs, taking into account a number of qualitative and quantitative analytics.
In a few weeks, I plan to launch my all-new Rhino REIT Advisory platform in which I will provide updated durability scores on all of the REITs in the research lab. The reason that I use the rhino as the brand ambassador can be best explained in this article, “The Rhino Principle,” written by fellow Forbes writer, Paul Johnson:
“Now, the rhino is not a particularly subtle or clever animal. It’s the last of the antediluvian quadrupeds to carry a great weight of body armor. And by all the rules of progressive design and the process of natural selection the rhino ought to have been eliminated. But it hasn’t been. Why not? Because the rhino is single-minded. When it perceives an object, it makes a decision-to charge. And it puts everything it’s got into that charge. When the charge is over, the object is either flattened or has gone a long way into cover, whereupon the rhino instantly resumes browsing.”
Today I am writing on one of my highest-conviction picks that scores well based on our durability scoring system, and is also attractively priced. Hopefully, after reading this article, you will recognize the powerful drivers that make this REIT special, and perhaps you will even do what the rhinos do: take charge!