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KKR Financial Holdings LLC (NYSE:KFN)
Yield on Cost
170.81 (As of Mar. 2014)

KKR Financial Holdings LLC's yield on cost for the quarter that ended in Mar. 2014 was 170.81.

KFN' s 10-Year Yield on Cost Range
Min: 16.51   Max: 5229.22
Current: 170.81


During the past 10 years, KKR Financial Holdings LLC's highest Yield on Cost was 5229.22. The lowest was 16.51. And the median was 170.81.

KFN's Yield on Costis ranked higher than
100% of the 1893 Companies
in the Global Specialty Finance industry.

( Industry Median: 2.58 vs. KFN: 170.81 )


Dividend Yield and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A'’s future dividend yield might be much higher than Company B’'s even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of KKR Financial Holdings LLC is calculated as

Yield-on-Cost=Dividend Yield*(1+Dividend Growth Rate)^5


Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.

Related Terms

Dividend Yield

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