Assessing the Dividend Performance of New York Mortgage Trust Inc
An In-depth Analysis of the Dividend History, Yield, and Sustainability of NYMT
New York Mortgage Trust Inc (NASDAQ:NYMT) recently announced a dividend of $0.3 per share, payable on 2023-10-26, with the ex-dividend date set for 2023-09-20. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's deep dive into New York Mortgage Trust Inc's dividend performance and assess its sustainability.
Understanding New York Mortgage Trust Inc
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New York Mortgage Trust Inc is a real estate investment trust for federal income tax purposes, in the business of acquiring, investing in, financing and managing mortgage-related and residential housing-related assets. The company's investment portfolio consists of structured multi-family property investments, distressed residential assets, second mortgages, and certain other mortgage-related and residential housing-related assets.
Exploring New York Mortgage Trust Inc's Dividend History
New York Mortgage Trust Inc has maintained a consistent dividend payment record since 2004, with dividends currently distributed on a quarterly basis. The company's annual Dividends Per Share history provides a clear picture of its historical dividend trends.
Understanding New York Mortgage Trust Inc's Dividend Yield and Growth
As of today, New York Mortgage Trust Inc currently has a 12-month trailing dividend yield of 15.59% and a 12-month forward dividend yield of 12.49%. This suggests an expectation of decreased dividend payments over the next 12 months. Over the past three years, the company's annual dividend growth rate was -20.60%, which increased to -17.70% per year over a five-year horizon, and -12.10% over the past decade.
Is New York Mortgage Trust Inc's Dividend Sustainable?
To assess the sustainability of the dividend, one needs to evaluate the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. As of 2023-06-30, New York Mortgage Trust Inc's dividend payout ratio is 0.00, suggesting that the company retains a significant part of its earnings. However, the company's profitability rank of 3 out of 10 suggests that the dividend may not be sustainable.
Future Outlook: Growth Metrics
New York Mortgage Trust Inc's growth rank of 3 out of 10 suggests that the company has poor growth prospects. The company's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. However, the company's revenue has increased by approximately -69.40% per year on average, a rate that underperforms approximately 98.74% of global competitors.
Conclusion
While New York Mortgage Trust Inc's consistent dividend payment history is commendable, the declining dividend growth rates and low profitability and growth ranks raise concerns about the sustainability of future dividends. Investors must carefully consider these factors before making investment decisions. GuruFocus Premium users can screen for high-dividend yield stocks using the High Dividend Yield Screener.
This article first appeared on GuruFocus.
