Netflix announced lower than expected subscriber growth numbers after the market closed, and the shares are down more than 13% in afterhours trading. This is a good reminder of the volatility and risks of FANG-type stocks (Facebook, Amazon, Netflix and Google/Alphabet) which have been performing extremely well, but have very high valuations. This article contrasts FANG stocks with data on over 100 high-yield stocks that have sold-off significantly this year and may be worth considering if you are an income-focused value investor. We also highlight four of our favorite opportunities from the list.
If you’re an income-focused contrarian investor, big-dividend REITs may have caught your attention this year considering they’re underperformed the market (SPY) significantly. This week’s Blue Harbinger Weekly shares our brief views on ten big-dividend REITs, and without sharing which ones are attractive “value plays” and which ones are dangerous “value traps,” here are the ten: CBL & Associates (CBL), Taubman Centers (TCO), Realty Income (O), Uniti Group (UNIT), Washington Prime (WPG), Tanger Factory Outlet (SKT), Sabra Health (SBRA), Pennsylvania REIT (PEI), and Ventas Healthcare (VTR), and General Growth Properties (GGP).
Brookfield Property Partners offers a big 5.2% dividend yield, and the company may be calling a bottom in the retail REIT market via its bid to acquire GGP. However, the real winner may be Brookfield’s parent entity Brookfield Asset Management. This article provides an outlook for retail REITs, a review of the twisted conflicts of interest in this deal, and a few ideas on how income-focused investors may want to play this deal and the retail REIT space in general.