Will History Trump Economics for This 9.8% Yielder?

By Marc Lichtenfeld A year ago, my colleague Kristin Orman looked at Tanger Factory Outlet Centers (NYSE: SKT) and determined the stock deserved a “B” rating for dividend safety. At the time, Kristin wrote…
We usually don’t like to see declining cash flows. But Tanger’s low payout ratio and history of raises make the dividend a safe bet.
However, if AFFO declines again in 2019, Tanger’s safety rating could fall with it.
AFFO stands for adjusted funds from operations – a measure of cash flow for real estate investment trusts (REITs).
The issue that caught Kristin’s eye was that at that point in 2018, management’s guidance for …read more