An analysis published today questioned Arbor Realty Trust’s approximately 20.9% dividend yield. [1]
Distributable earnings (DE) fell to $0.10 per share in the second quarter. [1] The quarterly dividend was $0.17 per share, resulting in a 170% payout ratio. [1]
The stock fell 38.1% over the past month. [1]
The analysis also cited deteriorating credit quality. [1] The company recorded a $38.2 million provision for credit losses. [1] It had 19 non-performing loans with $428.8 million in unpaid principal. [1]
These credit concerns raise questions about dividend sustainability, a key consideration for investors. [1]