I would investigate the debt situation closely before you dive in. That stock is in free fall and some of their management metrics look poor. Timber is a commodity and that adds extra risk. I realize a lot of shares are held by institutions. be careful they aren't quietly selling while you are buying. At first glance it wouldn't surprise me if that is what is happening lately. I won't lie, it took me two minutes to decide CTT is NOT a DGI stock for my port. There are far less risky REIT options with a similar dividend.
No way to sugar coat this.
-Overall market is lofty and CTT SP is in steady decline
-Company has a lot of debt like most REITS
-Interest rates sure to rise so the interest payments go up eventually if not soon. You'd have to look at the terms of their debt, i.e. maturity.
-Rising revenues and falling EPS, company is not profitable, less efficient than peers
-Timber is a commodity that is VERY cyclical, you are stacking risk on top of risk.
-Way too may other choices to settle for this.
Want a 5-6% dividend? Keep REIT shopping or take a look at T, (ATT), or SO and we'll share the risk story there. There is always some risk with high dividends.
No way to sugar coat this.
-Overall market is lofty and CTT SP is in steady decline
-Company has a lot of debt like most REITS
-Interest rates sure to rise so the interest payments go up eventually if not soon. You'd have to look at the terms of their debt, i.e. maturity.
-Rising revenues and falling EPS, company is not profitable, less efficient than peers
-Timber is a commodity that is VERY cyclical, you are stacking risk on top of risk.
-Way too may other choices to settle for this.
Want a 5-6% dividend? Keep REIT shopping or take a look at T, (ATT), or SO and we'll share the risk story there. There is always some risk with high dividends.