UnThreaded | Threaded | Whole Thread (11) | Ignore Thread Prev | Next
Author: JoKingMe Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 77644  
Subject: Poll: Which PLD preferred to own? Date: 2/9/2013 2:24 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 1
Yoda mentioned PLD preferreds in the prior thread and I'm wondering which one(s) I would want to own. All go ex-div on 3/18. As Yoda mentioned the volumes on these are very low and market prices may vary greatly from last trade. Numbers are based on last trade.

There are 6 callable preferreds:
PLD-O $1.75/year $25.50 yields 6.86%
PLD-P $1.712/year $25.17 yields 6.80%
PLD-M (R and S) $1.6875/year $25.23-$25.28 yields ~6.68%
PLD-L $1.625 $25.05 yields 6.49%. (Noticed that bid is $25.09).

Seems to me that I'd rather own "P" rather than "O" as PLD would likely call the "O" shares first. Also, the "O" shares trade at a $.24 premium to par plus accrued dividend and "P" trades at $.09 discount to par plus accrued dividends. This $.33 difference is 8 years of dividend differential. The long term return of the "P" shares are better than the "O". JMVHO.

PLD-M(R an S) trade very close to par, have two other preferreds that PLD would call before them and still yield 6.68%. Certainly not bad for the widows and orphan accounts.

PLD-L. Yields 6.49% and is trading at a $.20 discount to par plus accrued dividends. Likely last one to be called by PLD.

OK, time to choose.
I'm choosing the "P" shares.

Thanks to all that play along.
John
PLD-O. I'll take the highest yielder and risk the call loss.
PLD-P. Better yield to expected call than "O". 6.8% pretty desirable.
PLD-M (R or S). 6.68% Nice balance between yield and call risk.
PLD-L. 6.49% trading at slight discount. Great call protection.
I PLD in my pants.

Click here to see results so far.

Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (11) | Ignore Thread Prev | Next

Announcements

Related Boards
Real Estate Investing
This is a great board for Real Estate other than REITs.

Buying & Selling a Home
Get your personal advice about mortgages, agents, etc. here.
Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Post of the Day:
Value Hounds

Considerable Headwinds for Profire Energy?
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement