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6 Stocks Trading Under  That Pay Huge, Ultra-High Dividends
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6 Stocks Trading Under $15 That Pay Huge, Ultra-High Dividends

24/7 Wall Street Insights

  • The Federal Reserve is expected to cut interest rates in September.
  • Dividend-paying stocks will get a big boost in a lower interest rate environment.
  • This incredible report is free to our readers: Get access to 2 legendary, high-yielding dividend stocks that Wall Street loves.

Investors love dividend stocks, especially the ultra-high-yield variety, because they offer a significant income stream and have enormous potential for total return. Total return includes interest, capital gains, dividends, and distributions that are realized over time. In other words, the total return on an investment or portfolio consists of income and equity appreciation.

Let’s take a closer look look at the concept of total return. Imagine you buy a stock for $20 that offers a 3% dividend. If the stock price rises to $22 within a year, your total return is 13%. This is calculated by adding the 10% increase in the stock price to the 3% dividend.

We have screened our 24/7 Wall St. dividend stock research database, looking for companies trading under $15 that offer investors strong total return potential. While they’re better suited for growth and income investors with a higher risk appetite, all six of these stocks look like solid ideas as we head into September. Investors should also grab this new report.

Why are we covering this?

6 Stocks Trading Under  That Pay Huge, Ultra-High Dividends

Despite the Despite the rise in interest rates over the past two years, we are still seeing persistent sticky inflation on many everyday items that we need to buy. Those looking to increase their income with passive income can benefit from stocks that pay ultra-yielding dividends. In addition, three of the companies pay their huge dividends monthly.

AGNC investment

AGNC Investment provides private capital to the housing market in the United States.

This company has been paying solid monthly dividends for years; the current yield is 14.40%. AGNC Investment Corp. (NASDAQ: AGNC) is a real estate investment trust (REIT) in the United States.

The company invests in residential mortgage conduit securities and covered mortgage obligations whose principal and interest payments are guaranteed by a U.S. government-sponsored enterprise or a U.S. government agency.

AGNC investment finances its investments primarily through secured loans structured as repurchase agreements. It has elected to be taxed as a REIT under the 1986 Internal Revenue Code. However, it would not be subject to federal corporate income tax if it distributed at least 90% of its taxable income to its shareholders.

Arbor Realty Trust

Arbor Realty Trust provides multifamily housing financing solutions nationwide.

This company Arbor Realty Trust, Inc. trades at a ridiculous 7.7 times estimated 2024 earnings and pays a whopping 12.04% dividend. Arbor Realty Trust (NYSE: ABR) invests in a diversified portfolio of structured finance assets across the multifamily, single-family rental, and commercial real estate markets in the United States.

The company is active in two segments:

  • Structured company
  • Agency Business

Arbor Real Estate Trust mainly invests in:

  • Bridge and mezzanine loans, including junior participations in first mortgages
  • Joint ventures with preferred and direct shares and real estate related joint ventures
  • Real Estate Notes
  • Various mortgage-related securities

The company offers:

  • Bridging finance products for borrowers seeking short-term capital to purchase real estate
  • Financing through preferred equity investments in entities that directly or indirectly own real estate
  • Mezzanine financing in the form of loans that are subordinate to a conventional first mortgage loan and have priority over the borrower’s equity in a transaction
  • Junior participation financing in the form of a junior participation in the senior debt
  • Financing products for borrowers seeking conventional, vocational and affordable single-family homes

Furthermore, The Company underwrites, originates, sells and services multifamily mortgage loans through flow-through/commercial mortgage-backed securities programs.

Dynex Capital

Dynex Capital is an internally managed mortgage REIT that invests in mortgage-backed securities.

Paying a hefty price 12.82% dividend, Dynex Capital Inc. (NYSE: DX) is a passive income champion for more aggressive investors. It is a mortgage real estate investment trust that invests in mortgage-backed securities (MBS) on a leveraged basis in the United States.

It invests in agency and non-agency mortgage-backed securities (MBS), including residential, commercial, and interest-only securities. Agency MBS have a guarantee of principal payment by a U.S. government agency or a U.S. government-sponsored entity, such as Fannie Mae and Freddie Mac.

Non-agency MBS has no such payment guarantee. The company qualifies as a real estate investment trust for federal income tax purposes. It is generally not subject to federal income taxes if it distributes at least 90% of its taxable income as dividends to its shareholders.

Ellington Financial

Ellington has been a leader in data-driven investing since its founding in 1994.

This quality mortgage REIT company is a Wall Street darling, paying a whopping 12.22% monthly dividend. Ellington Financial Inc. (NYSE: EFC), through its subsidiary Ellington Financial Operating Partnership, acquires and manages mortgage-related, consumer-related, corporate-related and other financial assets in the United States.

The company develops and manages mortgage-backed securities (RMBS) that are backed by:

  • Big jumbo
  • Alt-A, Manufactured Housing and Subprime Mortgage Lending
  • RMBS whose principal and interest payments are guaranteed by the U.S. government agency or U.S. government-sponsored entity
  • Home mortgage loans
  • Commercial mortgage-backed securities
  • Commercial mortgage loans and other commercial real estate debt

Ellington Financial also offers collateralized loan obligations, mortgage-related and non-mortgage-related derivatives, corporate debt and equity, corporate loans and other strategic investments. In addition, the company offers consumer loans and asset-backed securities that are backed by consumer and commercial assets.

Horizon Technology Finance

Horizon is a venture capital financing platform offering structured debt products to the life science and technology sector.

Pay a hefty price 11.73% dividend, this stock has a huge upside potential. Horizon Technology Finance Corp. (NASDAQ: HRZN) is a business development company that specializes in providing loans and investing in development-stage investments.

It focuses on providing secured debt and risk capital investments to venture capital-backed companies in these sectors.

  • Technology
  • Life Sciences
  • Healthcare information and services
  • Clean technology
  • Sustainability

Horizon is a leading venture lending platform that provides structured debt products to life science and technology companies. The experienced investment and operations team has provided debt capital to some of the most exciting companies for decades.

The members Horizon team members have collectively originated and invested more than $5 billion in venture capital loans to thousands of companies. Since 2004, Horizon has directly originated and invested more than $3 billion in venture capital loans to more than 315 growth companies.

Trinity Capital

Trinity Capital provides venture capital financing to high-growth, venture-backed startups.

Based in Phoenix, this business development company pays a whopping 14.40% dividend. Trinity Capital Inc. (NASDAQ: TRIN) is a venture capital firm specializing in venture debt to growth-stage companies seeking loans and equipment financing.

The company is an internally managed business development company that is a leading provider of diversified financial solutions to growth stage companies with institutional investors.

Trinity Capital’s The investment objective is to generate current income and, to a lesser extent, capital appreciation through investments including term loans, equipment financing and equity-related investments.

The company believes It is one of the few specialist lenders with deep knowledge, experience and track record in lending to growth-stage companies.

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