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Highest yielding shares

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w.m.buch@bigpond

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Thought it might be intersting to have a post with the high yielders
especially in the recent markets.
Friday 7th March
BBI $0.915 Divi $0.15 = 16.39%
BBP $1.51 Divi $0.27 = 17.88%
Im sure there are lots lets see what they are
 
I would be careful if I were you.

Those BNB asset holders may burn under debt pressure and that type of a dividend won't be sustainable for long if the funds aren't actually getting any capital.

That goes for the banks too, SGB cannot be paying $2 dividends a year at $20, there will be some dividend from the banks I bet.
 
w.m.buch@bigpond said:
Thought it might be intersting to have a post with the high yielders
especially in the recent markets.
Friday 7th March
BBI $0.915 Divi $0.15 = 16.39%
BBP $1.51 Divi $0.27 = 17.88%
Im sure there are lots lets see what they are
Click to expand...

Just remember this simple rule, anything that offer yield 2-3% better than bank deposit also offer a lot of risk ....that risk include lose your capital :D
Even if you dont know anything about the stocks or what they do, go by this rule will keep you safe
 
Agree with above.........also instead of focussing on high yield stocks......try focussing on companies with high sustainable, recurring, growing earnings per share, who may wish to pay high yields......yields on their own are practically meaningless..
 
vishalt said:
I would be careful if I were you.

Those BNB asset holders may burn under debt pressure and that type of a dividend won't be sustainable for long if the funds aren't actually getting any capital.

That goes for the banks too, SGB cannot be paying $2 dividends a year at $20, there will be some dividend from the banks I bet.
Click to expand...

Why not?

If banks currently have a payout ratio of 70% even if earnings are flat they can easily match dividend. Even if earnings are reduced all they have to do is what Telstra has been doing for many years and that is payout all earnings as a dividend. Not suggesting this is a good idea as without retained earnings there is no real growth and hence capital growth will lag and ultimately share price. However my point is banks will likely match dividend just to keep investors happy.
 
TheRage said:
Why not?

If banks currently have a payout ratio of 70% even if earnings are flat they can easily match dividend. Even if earnings are reduced all they have to do is what Telstra has been doing for many years and that is payout all earnings as a dividend. Not suggesting this is a good idea as without retained earnings there is no real growth and hence capital growth will lag and ultimately share price. However my point is banks will likely match dividend just to keep investors happy.
Click to expand...

Read TLS earning again ...they borrowed to pay dividend hence taking the company deeper into the red each year.

Last year TLS take out a long term debt of 1 Billion for 10 years. Comes 10 years from now the bond holder want their capital back and of course during the 10 years they want their interest payment as well :D
 
I was aware Telstra was borrowing to pay debt but did not want to complicate the issue and competely agree with your comments ;).
The point I was trying to convey is that even without no earnings growth the banks can and probably will maintain dividend to keep shareholders happy.
 
As stated above, yield isn't any measure that the business is sound..

Also in the current environment, unless profits are maintained at similar levels to last year, dividends may be significantly reduced, if not cut altogether.

DSF Deep Sea Fisheries Ltd 190.48%
CNP Centro Properties Group 120.92%
AFG Allco Finance Group Limited 112.82%
RRT Record Realty 104.76%
RAT Rubicon America Trust 80.86%
REU Rubicon Europe Trust Group 70.36%
AXQ Allco Max Securities & Mortgage Trust 52.19%
CIY City Pacific Limited 46.15%
CPK CP1 Limited 43.90%
MFI Mariner Financial Limited 41.67%
CER Centro Retail Group 38.41%
PBD Port Bouvard Limited 36.90%
LGD Legend Corporation Limited 32.97%
MRA Mariner American Property Income Trust 31.59%
AEZ APN/UKA European Retail Property Group 30.94%
EPY E-pay Asia Limited 28.94%
MIX Mirvac Industrial Trust 22.41%
IWI International Wine Investment Fund (The) 21.05%
RJT Rubicon Japanese Trust 20.99%
ABW Aurora Buy-Write Income Trust 19.85%
CCP Credit Corp Group Limited 19.85%
CEG CEC Group Limited 19.67%
TGP Trafalgar Corporate Group 19.55%
MPS MacarthurCook Property Securities Fund 19.00%
GLE GLG Corp Ltd 18.73%
MFT MFS Diversified Group 18.32%
ITD ITL Limited 18.18%
BLP Babcock & Brown Residential Land Partners Group 17.56%
CDF Commonwealth Diversified Share Fund 16.93%
APR API Fund 16.37%
MDT Macquarie DDR Trust 16.08%
FXI Fox Invest Limited 16.00%
BBI Babcock & Brown Infrastructure Group 15.48%
VPG Valad Property Group 15.11%
ASQ Asset Loans Ltd 15.00%
RNY Reckson New York Property Trust 15.00%
CDR Commander Communications Limited 14.81%
EIG European Investors Global Property Trust 14.80%
LEP ALE Property Group 14.78%
AEU Australian Education Trust 14.42%
VIR Viridis Clean Energy Group 14.14%
MCW Macquarie Countrywide Trust 14.04%
AGF AMP Capital China Growth Fund 14.00%
ILF ING Real Estate Community Living Group 13.88%
NAM Namoi Cotton Co-Operative Limited 13.75%
OPI Optima ICM Limited 13.33%
IEF ING Real Estate Entertainment Fund 13.29%
CWT Challenger Wine Trust 13.28%
HDF Hastings Diversified Utilities Fund 13.26%
ENV Envestra Limited 13.24%
TSO Tishman Speyer Office Fund 13.18%
VBP Van Eyk Blueprint Alternatives Plus 13.18%
MMA MMC Contrarian Limited 13.11%
MOF Macquarie Office Trust 12.99%
MMG Macquarie Media Group 12.88%
WAB Wallace Absolute Return Limited 12.50%
BBP Babcock & Brown Power 12.38%
BOL Boom Logistics Limited 12.14%
FUN Funtastic Limited 11.89%
BJT Babcock & Brown Japan Property Trust 11.76%
EZL Euroz Limited 11.63%
RCY Rivercity Motorway Group 11.56%
TCQ Trinity Group 11.53%
FKP FKP Property Group 11.51%
AEP Allco Equity Partners Limited 11.50%
CND Clarius Group Limited 11.45%
ABP Abacus Property Group 11.40%
IPA Indigo Pacific Capital Limited 11.36%
MPF Multiplex Acumen Property Fund 11.28%
MIT Mariner Pipeline Income Fund 11.16%
PMC Platinum Capital Limited 11.11%
RPG Raptis Group Limited 11.11%
CIF Challenger Infrastructure Fund 11.09%
CRT Consolidated Rutile Limited 11.04%
EBB Everest Babcock & Brown Limited 10.92%
MCG Macquarie Communications Infrastructure Group 10.86%
UCW Undercoverwear Limited 10.83%
FRI Finbar Group Limited 10.81%
TPF Timbercorp Primary Infrastructure Fund 10.74%
ATP Atlas South Sea Pearl Limited 10.67%
HHY Hastings High Yield Fund 10.60%
ALZ Australand Property Group 10.55%
APD APN Property Group Limited 10.53%
PRV Premium Investors Limited 10.37%
CCV Cash Converters International 10.34%
APA APA Group 10.33%
CAF Centrepoint Alliance Limited 10.33%
SLF SPDR S&P/ASX 200 Listed Property Fund 10.26%
MAFCA Multiplex Prime Property Fund 10.22%
GPT GPT Group 10.21%
ZFX Zinifex Limited 10.19%
CVC CVC Limited 10.17%
IOF ING Office Fund 10.16%
ABS A.B.C. Learning Centres Limited 10.15%
GJT Galileo Japan Trust 10.04%
ALF Australian Leaders Fund Limited 10.00%
AMH AMCIL Limited 10.00%
EPF Esplanade Property Fund 10.00%
IFM Infomedia Limited 10.00%
IPE ING Private Equity Access Limited 10.00%
MOC Mortgage Choice Limited 10.00%
MRZ Mirvac Real Estate Investment Trust 10.00%
 
How old is that list gfresh?

As RRT declared they wont pay a dividend, and im fairly sure DSF are no longer functioning (could be wrong though)
 
Prawn: You're right, I think it's just going on last year's declared dividends and current price. So it's probably a bit of date. It may be a bit of a starting point.

If anybody is a commsec customer, they can find it by clicking "news & research" -> "company research" (top menu) -> "advanced search tool", and then under the 'income' dropdown there is one for dividend yield. You can then narrow it down if you wish, then of course would need to check announcements to ensure what the current dividend is, or likely to be.
 
ROE said:
Read TLS earning again ...they borrowed to pay dividend hence taking the company deeper into the red each year.

Last year TLS take out a long term debt of 1 Billion for 10 years. Comes 10 years from now the bond holder want their capital back and of course during the 10 years they want their interest payment as well :D
Click to expand...

Yes that sounds right, they pay dividends out of debt indirectly

What they should be doing is reduce the dividendpayout and then use it to pay off the debt to reduce risk of the business etc

Earnings and Dividends Forecast (cents per share)
2007 2008 2009 2010
EPS 26.2 29.8 31.6 35.7
DPS 28.0 28.0 28.0 30.0

thx

MS
 
Personally I think there may be a few surprises (on the downside) when the next round of dividends are announced.

I cannot believe dividends will stay at the levels they are at when the world is expected to go into recession. Especially the banks, raising so much capital, will find it difficult to maintain dividends.
 
w.m.buch@bigpond said:
Thought it might be intersting to have a post with the high yielders
especially in the recent markets.
Friday 7th March
BBI $0.915 Divi $0.15 = 16.39%
BBP $1.51 Divi $0.27 = 17.88%
Im sure there are lots lets see what they are
Click to expand...

Hm 17/12/08 prices:

BBI $0.08...
BBP $0.05...

Can dividend yield be a "buyers trap" sometimes?

BBI - Earnings and Dividends Forecast (cents per share)
2008 2009 2010 2011
EPS -2.1 3.2 4.4 3.5
DPS 10.0 0.0 0.0 0.0

BBP - Earnings and Dividends Forecast (cents per share)
2008 2009 2010 2011
EPS -65.1 -3.4 -3.9 4.3
DPS 13.0 0.0 2.0 2.1

BBI.jpg


BBP.jpg


Date: 10/12/2008
Author: Natasha Bita; Andrew Fraser
Source: The Australian --- Page: 6
A fall in global steel production has led to a dramatic slowdown in the numberof ships arriving at Queensland's Dalrymple Bay coal shipping terminal. Thenumber of vessels arriving in December 2008 fell to just 28, down from anaverage of between 50 and 55 vessels earlier in the year

Date: 2/12/2008
Author: Danny John
Source: The Sydney Morning Herald --- Page: 19
Moody's Investors Service has once more lowered the credit ratings fortroubled Babcock & Brown Infrastructure, which is also preparing to divest astake of 49% in its Dalrymple Bay coal shipping terminal, a core asset.Meanwhile a sudden rise in the group's share price has caused questions bythe ASX. On 1 December 2008 the stock closed $A0.02 higher at $A0.095

Date: 20/11/2008
Author: Mark Ludlow; Tracy Lee
Source: The Australian Financial Review --- Page: 22
Babcock & Brown Infrastructure plans to reduce its stake inQueensland's Dalrymple Bay coal terminal by 30-49 per cent. QueenslandTreasurer Andrew Fraser has indicated that the State Government would not opposethe transaction, subject to the buyer committing to expanding the port andensuring open access to the facility

Date: 19/11/2008
Author: Brett Clegg; Annabel Hepworth; Jemima Whyte
Source: The Australian Financial Review --- Page: 1/59
Babcock & Brown Infrastructure (BBI) put its Dalrymple Bay asset up for salein November 2008, as parent company Babcock & Brown looked to reduce debt.BBI issued confidentiality agreements to potential buyers in a bid to offloadbetween 30 and 49 per cent of the $A2.3 billion coal port facility, after anapproach by a consortium of mining companies
Click to expand...

thx

MS
 
Published yield isn't any security now. As at 30 Sept 08 MOF was projecting an annual div of $0.09 with $0.0225 to be paid at the nedo of this quarter. This represented a yield of 33% on a $0.27 share. The div for this quarter has now been cancelled and the revised div for 2009 with the offer is now only $0.03pa which represents 15% on the offer price of $0.20 per share. One wonders what the next announcement will be.
 
I agree; the higher the current yield, the poorer the position of the entity.

If you are going to look for yield plays, go for banks, brown field infrastructure or large A-REITS that have refinanced. Look around the 10-15% mark. Banks are best bet IMO and they will also provide you with franking credits.

Make no mistake - banks will make a mint in 12-18 months or so. All competition has disappeared (mortgage, foreign banks, securitisation, etc), wholesale funding rates are plummeting, term deposit rates are plummeting, yet business/mortgage rates are still +8%. Once commercial property markets bottom (i.e. the end of provisions), then profits wil sky rocket.

The rest is all just fantasy and they are cutting distributions by the hour. MOF is a great example but there are many more.
 
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