Despite their superior yields, real estate investment trusts ( REITs ) are often overlooked and undervalued by investors when compared to other dividend-paying stocks. Since REITs must pay 90% or more of taxable income as dividends, investors can lock in yields that are often two to five times more than the S&P 500 .
Rising interest rates and the recent market sell-off have pushed many REITs down 20% or more this year. But today's beaten-up pricing is to investors' advantage. Three stocks fool.com contributors believe are wildly undervalued given today's pricing are Medical Properties Trust (NYSE: MPW) , STAG Industrial (NYSE: STAG) , and Prologis (NYSE: PLD) .
Here's a closer look at each company and why investors should buy these high-dividend stocks hand over fist.
For further details see:
3 Wildly Undervalued Stocks to Buy Hand Over Fist