The summer is usually weak and many economists aren’t looking for much year-end improvement. So, be cautious, notes Harry Domash, income specialist and editor of Dividend Detective.
We’re adding one new pick to our Dividend Speculators portfolio this month. It’s a recent IPO that operates 800+ stores in 49 states offering sewing supplies, art supplies and related items.
Joann, Inc. (JOAN) is an industry leader in fabric & sewing, which account for around 50% of sales. It recently declared its first dividend (2.5% yield). We’re expecting strong growth numbers over the next 12 to 18 months.
Founded in 1943, Jo-Ann Stores listed on the American Stock Exchange in 1969, but was taken private in 2011. It changed is name to Joann in 2018 and again became a publicly traded firm on March 16, 2021. Joann was added to the Russell 200o index on 6/28/21. It’s paying a 2.5% dividend yield.
We’re also adding one new pick to Preferred Stocks; we are recommending Carlyle Finance 4.625% Subordinated Notes (CGABL), aka Baby Bonds.
Carlyle, with $260 billion of assets under management, is a global player focusing on private equity, credit, and investment opportunities. S&P rates the preferreds at investment quality (BBB).
Recently trading at $25.46 per share, the market yield is 4.5% and the yield to its 4/15/22 call date is 4.4%. Dividends are taxable at ordinary rates.