Receive a High Dividend Yield from This Regional Bank

An investment in the largest money center banks in the U.S would net you a dividend yield of two percent to 2.5%. This is lower than the rate of inflation, which is a negative to investors. But with NYCB stock, shareholders can enjoy a yield of 5.6%. The immediate benefit is a higher return of income on the invested capital, with the possibility–if not likelihood–of dividend growth. The company’s margins are improving thanks to the Federal Reserve’s interest rate hikes, with four having occurred since 2015. What’s more, more rate hikes could be announced since rates are near historic lows.

New York Community Bankcorp, Inc. (NYSE:NYCB) is the top regional financial institution in the New York metropolitan area and a leader in producing multi-family mortgage loans in New York City. NYCB stock is a very unique investment when compared to the large money center banks for several reasons, including its a high dividend yield, concentrated business model, and cheap valuation. Earn a High Dividend Yield of 5.6%.

Source: Income Investor

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