Q: What is your opinion of this company? Thanks
5i Research Answer:
It is cheap at 12X earnings, with a 7.62% dividend. The dividend has not changed in at least 16 years, though it does pay small special dividends at times. It did not cut the dividend in the pandemic nor in more recent prior recessions. But it is a small company, with full exposure to interest rates and the economy and the real estate market. It needs to be considered higher risk income. Lower interest rates should help its outlook, though. Dividend payout is rising as earnings are expected to flatline for the next two years. We would not consider it 'strong' but 'OK' for an investor seeking higher income and higher risk in a small cap stock.