The aging population of the United States has opened up multiple opportunities for income seeking investors.
REITs are well known as being dividend producing machines since they are required to pay out at least 90% of their profits back to investors as dividends.
Combining the dividend producing power of REITs with the unstoppable aging phenomena and it spells a best long term dividend stocks investing opportunity.
One of my favorite income stocks in this sector is Senior Housing Properties Trust (NYSE:SNH).
This REIT not only rides the aging wave of the future, it pays a current 6.4% yield.
The company owns and operates nursing homes, retirement complexes, and assisted living facilities.
Shares have sold off over the last 6 trading sessions and price is below the 50 day simple moving average. However, shares have held above the 200 day simple moving average at $22.35 per share creating a solid buying opportunity above this level.
Let’s take a closer look at the company. It owns and manages approximately 400 properties in 40 states. The company just announced it is selling two properties and is expecting a 20% revenue increase this year.
The current sell off appears to be triggered by fears of rising interest rates. Rising rates will hurt real estate first and this stock being a REIT is very sensitive to interest rate changes—real or imagined.
Action to Take:
Buy SNH now as a best long term dividend stock and reinvest the dividends. When interest rates start to climb, sell!
SOURCE: http://tradingtips.com/daily/day-trading/best-long-term-dividend-stocks-2/
17 thoughts on “The Best Long Term Dividend Stocks?”
Comments are closed.