Why I Doubled Down On This Top-Shelf 8.8%-Yielding Commercial Mortgage REIT

I added to my position in this company this week. It is a high-quality commercial real estate finance vehicle with potential to increase its dividend payout. Shares continue to be reasonably valued. An investment in the stock yields 8.8 percent.

I doubled down on my position in Starwood Property Trust, Inc. (STWD) this week since I believe the commercial real estate finance company is in an excellent spot to increase its dividend payout. Starwood Property Trust is well-positioned for rising interest rates, thanks to its large investments into floating-rate assets, and the company has excellent dividend coverage stats for a 9-percent yielder. Shares are still reasonably valued, and an investment in STWD throws off an 8.8 percent dividend yield.

Source: Seeking Alpha

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