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Only 3 Days Left To Armada Hoffler Properties Inc (NYSE:AHH)’s Ex-Dividend Date, Should You Buy?

Attention dividend hunters! Armada Hoffler Properties Inc (NYSE:AHH) will be distributing its dividend of $0.19 per share on the 04 January 2018, and will start trading ex-dividend in 3 days time on the 26 December 2017. Is this future income stream a compelling catalyst for dividend investors to think about the stock as an investment today? Let’s take a look at Armada Hoffler Properties’s most recent financial data to examine its dividend characteristics in more detail. Check out our latest analysis for Armada Hoffler Properties

How I analyze a dividend stock

If you are a dividend investor, you should always assess these five key metrics:

  • Is their annual yield among the top 25% of dividend payers?

  • Has its dividend been stable over the past (i.e. no missed payments or significant payout cuts)?

  • Has it increased its dividend per share amount over the past?

  • Is its earnings sufficient to payout dividend at the current rate?

  • Based on future earnings growth, will it be able to continue to payout dividend at the current rate?

NYSE:AHH Historical Dividend Yield Dec 22nd 17
NYSE:AHH Historical Dividend Yield Dec 22nd 17

How well does Armada Hoffler Properties fit our criteria?

The company currently pays out 147.89% of its earnings as a dividend, which means that the dividend is not well-covered by its earnings. Furthermore, analysts have not forecasted a dividends per share for the future, which makes it hard to determine the yield shareholders should expect, and whether the current payout is sustainable, moving forward. If there’s one type of stock you want to be reliable, it’s dividend stocks and their stable income-generating ability. The reality is that it is too early to consider Armada Hoffler Properties as a dividend investment. It has only been consistently paying dividends for 5 years, however, standard practice for reliable payers is to look for a 10-year minimum track record. In terms of its peers, Armada Hoffler Properties has a yield of 4.89%, which is high for reits stocks.

What this means for you:

Are you a shareholder? Investors may not have the best feeling about their investment in Armada Hoffler Properties right now, in terms of its dividend attributes. It may be worth exploring other income stocks as alternatives to Armada Hoffler Properties or even look at high-growth stocks to complement your steady income stocks. I recommend continuing your research by taking a look at my interactive free list of dividend rockstars as well as high-growth stocks to potentially add to your holdings.

Are you a potential investor? Now you know to keep in mind the reason why investors should be careful investing in Armada Hoffler Properties for the dividend. But if you are not exclusively a dividend investor, the stock could still be an interesting investment opportunity. I also recommend taking sufficient time to understand its core business and determine whether the company and its investment properties suit your overall goals. Dig deeper in our latest free fundmental analysis to explore other aspects of Armada Hoffler Properties.


To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.

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