Is Armour Residential REIT's High Dividend Yield Worth the Risk of a 7 Percent Loss?
Briefly

Despite current uncertainties from tariffs and market volatility, investing in distressed REITs and high-yield dividend stocks can be appealing due to their rising yields. However, investors must assess the sustainability of these payouts and the underlying cash flows, particularly with the looming threat of recession. Some REITs may maintain distributions through difficult times, offering the potential for substantial returns if investors can distinguish the resilient from the fragile. Understanding the inherent risks is essential before pursuing these investments.
Buying the dip in battered REITs can be tempting, but investors must assess the sustainability of distributions, especially amidst potential economic downturns.
While some believe in catching falling REITs for high yields, it's crucial to evaluate whether a firm's cash flows can sustain its dividends during challenging times.
Read at 24/7 Wall St.
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