We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Kilroy Realty (KRC) is a Top Dividend Stock Right Now: Should You Buy?
Read MoreHide Full Article
Whether it's through stocks, bonds, ETFs, or other types of securities, all investors love seeing their portfolios score big returns. However, when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.
While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric that measures a dividend as a percent of the current stock price. Many academic studies show that dividends account for significant portions of long-term returns, with dividend contributions exceeding one-third of total returns in many cases.
Kilroy Realty in Focus
Kilroy Realty (KRC - Free Report) is headquartered in Los Angeles, and is in the Finance sector. The stock has seen a price change of 22.19% since the start of the year. Currently paying a dividend of $0.52 per share, the company has a dividend yield of 2.97%. In comparison, the REIT and Equity Trust - Other industry's yield is 2.98%, while the S&P 500's yield is 1.36%.
In terms of dividend growth, the company's current annualized dividend of $2.08 is up 5.6% from last year. In the past five-year period, Kilroy Realty has increased its dividend 5 times on a year-over-year basis for an average annual increase of 6.09%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Right now, Kilroy Realty's payout ratio is 53%, which means it paid out 53% of its trailing 12-month EPS as dividend.
KRC is expecting earnings to expand this fiscal year as well. The Zacks Consensus Estimate for 2021 is $3.79 per share, with earnings expected to increase 2.16% from the year ago period.
Bottom Line
Investors like dividends for many reasons; they greatly improve stock investing profits, decrease overall portfolio risk, and carry tax advantages, among others. But, not every company offers a quarterly payout.
Big, established firms that have more secure profits are often seen as the best dividend options, but it's fairly uncommon to see high-growth businesses or tech start-ups offer their stockholders a dividend. During periods of rising interest rates, income investors must be mindful that high-yielding stocks tend to struggle. That said, they can take comfort from the fact that KRC is not only an attractive dividend play, but also represents a compelling investment opportunity with a Zacks Rank of #2 (Buy).
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Kilroy Realty (KRC) is a Top Dividend Stock Right Now: Should You Buy?
Whether it's through stocks, bonds, ETFs, or other types of securities, all investors love seeing their portfolios score big returns. However, when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.
While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric that measures a dividend as a percent of the current stock price. Many academic studies show that dividends account for significant portions of long-term returns, with dividend contributions exceeding one-third of total returns in many cases.
Kilroy Realty in Focus
Kilroy Realty (KRC - Free Report) is headquartered in Los Angeles, and is in the Finance sector. The stock has seen a price change of 22.19% since the start of the year. Currently paying a dividend of $0.52 per share, the company has a dividend yield of 2.97%. In comparison, the REIT and Equity Trust - Other industry's yield is 2.98%, while the S&P 500's yield is 1.36%.
In terms of dividend growth, the company's current annualized dividend of $2.08 is up 5.6% from last year. In the past five-year period, Kilroy Realty has increased its dividend 5 times on a year-over-year basis for an average annual increase of 6.09%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Right now, Kilroy Realty's payout ratio is 53%, which means it paid out 53% of its trailing 12-month EPS as dividend.
KRC is expecting earnings to expand this fiscal year as well. The Zacks Consensus Estimate for 2021 is $3.79 per share, with earnings expected to increase 2.16% from the year ago period.
Bottom Line
Investors like dividends for many reasons; they greatly improve stock investing profits, decrease overall portfolio risk, and carry tax advantages, among others. But, not every company offers a quarterly payout.
Big, established firms that have more secure profits are often seen as the best dividend options, but it's fairly uncommon to see high-growth businesses or tech start-ups offer their stockholders a dividend. During periods of rising interest rates, income investors must be mindful that high-yielding stocks tend to struggle. That said, they can take comfort from the fact that KRC is not only an attractive dividend play, but also represents a compelling investment opportunity with a Zacks Rank of #2 (Buy).