The aggregate market cap of US stocks compared to the total GDP is an idiosyncratic indicator that Warren Buffett favors. According to Buffett, when this ratio approaches 200%, it suggests danger ahead. As he stated in a Fortune Magazine article in December 2001, a ratio of 70% to 80% indicates a good time to buy stocks, while a ratio of 200% is a sign of trouble.
BTIG’s Thomas Catherwood has been recommending dividend stocks to investors, with yields of up to 12.5%. Two such stocks that he has highlighted are Blackstone Mortgage Trust (BXMT) and TPG RE Finance Trust (TRTX).
Blackstone Mortgage Trust is a real estate investment trust backed by Blackstone Asset Management. It focuses on mortgage loan packages and mortgage-backed securities, with a portfolio of 173 loans worth over $21 billion. The company’s recent financial results showed strong performance, with a non-GAAP EPS of 65 cents covering its 62-cent dividend payment. The stock has a forward yield of 12.6%, and Catherwood has given it a Buy rating with a price target of $23.
TPG RE Finance Trust operates in the commercial real estate segment, with a portfolio valued at $3.5 billion. The company has a diverse portfolio across different asset classes and geographic locations. TRTX recently declared a dividend payment of 24 cents per share, with a forward yield of 10.15%. Catherwood has a Buy rating on the stock with a price target of $11.
Overall, both stocks offer attractive dividend yields and potential for capital appreciation.
Source: https://finance.yahoo.com/news/seeking-12-5-dividend-yield-131831751.html
Footnotes:
– https://www.tipranks.com/compare-stocks/dividend-stocks?utm_source=undefined&utm_medium=referral
– https://www.tipranks.com/experts/analysts/tom-catherwood?utm_source=undefined&utm_medium=referral
– https://www.tipranks.com/stocks/bxmt/forecast?utm_source=undefined&utm_medium=referral
– https://www.tipranks.com/stocks/trtx/forecast?utm_source=undefined&utm_medium=referral
– https://www.tipranks.com/stocks-to-buy?utm_source=undefined&utm_medium=referral
