I don't get it. If that's what you think, then why are you here, and why don't you leave. Your opinions are yours to have, but there is a disconnect between your opinions and your actions. Why bother with us hopeless souls? Why try to straighten out our useless lives? I can't believe you started a thread just to tell us how worthless we are.
MREIT's buy mortgages. In essence this means they are lending to the people who took out the mortgages. You see that, right? Yet, they don't know any of these people. Are you educated now?
"and here come the thumbs down from the losers......"
Minor typo, should be: "and here come the thumbs down to the loser......" Slick, your advice means nothing when it comes to people's dislike of you. If you don't care that people find you distasteful, don't complain about it.
You can invest that way if you wish, but PSEC hasn't had another bad loan for years, and with the economy improving, it is even less likely that they will have another anytime soon.
Funny that people are so worried about 70% leverage for a BDC loaning to businesses they review carefully, but no so much when a MREIT levers up 700%+ loaning to people of unknown ability to repay.
PSEC wrote off a loan of $44M completely with $35M of that write-down coming in the quarter being reported. That amount was worth about $0.11 per share of both NII and NAV. In short, without that write-down, they would have had close to a $0.36 NII instead of $0.25, and the $0.33 divy would have been well covered with NAV remaining flat. That was a one-time event which won't affect future quarters since it is now 100% written down. It is also covered by undistributed earnings, and won't reduce current quarter's divies..
PSEC is working on reducing their cost of funds, and, if they succeed, they might actually increase their divy ... not reduce it. They may not have announced the next divies 'cause it's a new year, and they may increase a little to ... say ... $0.36 a quarter.
I think that people are looking for core earnings to cover the divy, and for a better NAV [$5,24]. The stock probably has a divy cut priced in here, but I think there is still lots of room for higher NAV and earnings. So, I am hanging in .... this thing is currently yielding almost 15% and that makes it easier to hang while things are improving.
Well, before you correct your error, you could wait until a few "idiots" have been posted .... it's only sporting. ;-)
I agree completely. I think RSO gets viewed as an MREIT even though their RMBS portfolio is practically non-existent now. The economy is still near perfect for these guys [lots of opportunities and zero defaults] so I am expecting continuing improvement.
When you consider that the average S&P stock earns about 8% - 9% with half of that coming from divies, a 14% return looks pretty good to me. I still see lots of room for earnings growth so I'm in.
The Fed has nothing to do with determining what inflation is; that comes from some government agency. The idea of leaving out food and energy from the inflation calculation is also not the Fed's idea. There is a CPI number with food and energy and one without. Food and energy are considered too volatile to accurately portray inflation.
I think .27 was a transcription error. I remember that he said the $0.20 divy was safe for the rest of the year, and AFFO would support that on a yearly basis [they made $0.20 of AFFO in the last reported qtr.]. He said RSO would be trending higher than $0.20 by the end of the year.
I am planning on $0.80 in divies and AFFO this year, and something more than that next year. Including the divy which I think could be raised at some point next year.
Everyone has been afraid of an increase in rates. With the Fed's position unchanged, and with some weaker data, WMC will go up but probably not as much as it should. $14.50 give or take before ExD.
Jefferson scholar sounds good, but I don't know about that Dennis Rodman scholar.
No one is jealous of anyone. You are a legend in your own mind. If you can trade PSEC successfully, then more power to you. If others choose to hold PSEC for the divy, then what is it to you. Are you lonely that you need to restore to petty criticisms? Maybe you should forget this board, and get a dog ... they make good companions. If you're just a short, then you are wasting your time, and that monumental brain-power trying to convince a hold-and-collect crowd to trade.