NexPoint Diversified REIT Remains Risky, Despite Its Deep Discount To Its Net Asset Value

2025-10-08 03:33:11 ET

Almost three months ago, I analyzed the risks of the 9.8% dividend yield of the preferred stock of NexPoint Diversified REIT ( NXDT.PR.A ), primarily the strong headwind from high interest rates, the high debt load of the REIT and its recurring losses. Since that article, the outlook for interest rates has greatly improved, as the Fed shifted from a hawkish strategy to a dovish strategy (more on this below). As a result, the preferred stock has gained 2% and has offered a total return of 5% since my article. Such a return for a fixed-income security and a short period is certainly attractive....

Read the full article on Seeking Alpha

For further details see: