2024-01-26 10:29:24 ET
Summary
- SLM Corporation's preferred stock listing, SLMBP, could see a slowdown in its rally as softer interest rates impact dividends.
- It would likely still pay out dividends though, going by the company's positive earnings outlook released yesterday.
- At the same time, the stock would only be attractive to long-term income investors, with the dividend upside exhausted for now.
When I last wrote about the preferred share listing for SLM Corporation (SLMBP) in August last year, it had inched up year-to-date [YTD] in contrast with a decline in the main listing's price ( SLM ). Cut to now, and the trends have changed as SLM has caught up with SLMBP (see chart below). Here I figure out why that is and what's next for SLMBP....
Read the full article on Seeking Alpha
For further details see:
SLM Corporation PFD SER B: The Time For Big Dividend Gains Is Over