A comprehensive analysis of RLTY's dividend history, yield, growth, and sustainability
Cohen & Steers Real Estate Opportunities and Income Fund(RLTY, Financial) recently announced a dividend of $0.11 per share, payable on 2023-09-29, with the ex-dividend date set for 2023-09-12. 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 Cohen & Steers Real Estate Opportunities and Income Funds dividend performance and assess its sustainability.
Understanding Cohen & Steers Real Estate Opportunities and Income Fund
Cohen & Steers Real Estate Opportunities and Income Fund is an organized, non-diversified, closed-end management investment company. The Fund's primary investment objective is high current income. The Fund's secondary investment objective is capital appreciation.
Examining Cohen & Steers Real Estate Opportunities and Income Fund's Dividend History
Cohen & Steers Real Estate Opportunities and Income Fund has maintained a consistent dividend payment record since 2022. Dividends are currently distributed on a monthly basis. Cohen & Steers Real Estate Opportunities and Income Fund has increased its dividend each year since -. The stock is thus listed as a dividend king, an honor that is given to companies that have increased their dividend each year for at least the past 2023 years.
Assessing Cohen & Steers Real Estate Opportunities and Income Fund's Dividend Yield and Growth
As of today, Cohen & Steers Real Estate Opportunities and Income Fund currently has a 12-month trailing dividend yield of 9.09% and a 12-month forward dividend yield of 9.52%. This suggests an expectation of increase dividend payments over the next 12 months.
Based on Cohen & Steers Real Estate Opportunities and Income Fund's dividend yield and five-year growth rate, the 5-year yield on cost of Cohen & Steers Real Estate Opportunities and Income Fund stock as of today is approximately 9.09%.
Evaluating Dividend Sustainability: Payout Ratio and Profitability
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. A lower ratio suggests that the company retains a significant part of its earnings, thereby ensuring the availability of funds for future growth and unexpected downturns. As of 2023-06-30, Cohen & Steers Real Estate Opportunities and Income Fund's dividend payout ratio is 0.00.
Cohen & Steers Real Estate Opportunities and Income Fund's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Cohen & Steers Real Estate Opportunities and Income Fund's profitability 1 out of 10 as of 2023-06-30, suggesting the dividend may not be sustainable. The company has reported net profit in 0 years out of past 10 years.
Reviewing Growth Metrics: The Future Outlook
To ensure the sustainability of dividends, a company must have robust growth metrics. Cohen & Steers Real Estate Opportunities and Income Fund's growth rank of 1 out of 10 suggests that the company has poor growth prospects and thus, the dividend may not be sustainable.
Conclusion
While Cohen & Steers Real Estate Opportunities and Income Fund's consistent dividend payments and high yield are attractive, the company's low profitability and growth ranks raise concerns about the sustainability of its dividend. Investors should carefully consider these factors before making a decision.
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