Arbor Realty Trust (ABR): A Hidden Gem in REIT Dividend Stocks

Arbor Realty Trust, Inc. (NYSE:ABR) is included among the 12 Best REIT Dividend Stocks to Buy Now.

Arbor Realty Trust (ABR): A Hidden Gem in REIT Dividend Stocks

Arbor Realty Trust, Inc. (NYSE:ABR) is a mortgage REIT that focuses on multifamily properties. The company’s business model provides it with multiple streams to generate revenue. The mREIT has stable long-term cash flows from the servicing fees, escrow income, and net interest income, and also generates a one-time revenue from origination fees. This multi-pronged tactic is also different from the mREITs that are mainly reliant on net interest margin.

Arbor Realty Trust, Inc. (NYSE:ABR)’s large operating platform and focus on multifamily have enabled the company to generate fairly consistent earnings through various market cycles. The company has demonstrated a track record of consistently paying dividends that are at least equal to the previous quarter for more than ten years – an achievement that not many other mREITs would claim to have in recent years.

Though Arbor Realty Trust, Inc. (NYSE:ABR) hasn’t raised its dividends in the recent past, the company has been rewarding shareholders with regular dividends for years. Currently, it offers a quarterly dividend of $0.30 per share and has a dividend yield of 10.75%, as recorded on October 1.

While we acknowledge the potential of ABR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ABR and that has a 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.