restucci (75.90)

restucci's CAPS Blog

CD & Savings Rates Got Ya Down?

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August 03, 2010 – Comments (2) | RELATED TICKERS: NHI , NEOG

Try some NHI if you are sick of getting a 1% yield at the bank. Heck, with the way the banking industry is working I'd trust NHI with my money rather than the folks who hold the CDs. NHI is currently yielding 6.1% and has just upped their divvy another 5.2%. The former CEO also has tried to buy the company on more than one occasion over the past 5 years. They boast a pristine balance sheet with little debt and are valued, by many metrics, below its peers. If you can get in below 38 go nuts!

While you are at it, you might as well throw in some NEOG. Check out the chart and you might forget that we have been living through a recession. The most amazing thing about this stock, is all the returns to date have been in the form of capital gains!

2 Comments – Post Your Own

#1) On August 03, 2010 at 9:59 PM, Eudemonic (57.88) wrote:

You might want to consider Preferred Stock ETFs such as PGF and PFF with trailing 12 months distribution yields at 8.25% and 7.51% respectively. These two securities pay dividends monthly.

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#2) On August 03, 2010 at 10:49 PM, restucci (75.90) wrote:

Hi Eudemonic, not much of an ETF guy, but these guys look interesting. I like the idea - I can't stomach the financial sector as a whole right now. I might research some of the preferred financial stocks individually, that's more my style anyways :-). At least the companies are obligated to pay the dividends to the holders and generally in arrears.

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