Dividend raise: Omega Healthcare Investors (+1,5%)

Twee weeks ago Omega Healthcare Investors (OHI) announced a raise in their quarterly dividend from $0,66 to $0,67. This raise adds about € 4 to my annual dividend income. Ka-ching!

Their dividend growth stalled for almost two years. Let's see if OHI can start to increase its dividend on a quarterly basis, which they used to do. Hopefully there's more to come!

So far I received 21 dividend raises in 2019. These raises combined have added almost € 60 to my forward annual dividend income. Maybe thare are more raises during the rest of the year. I'll keep you updated!

Did you like the dividend raise of O? Do you consider selling because of the low dividend growth rate?

Dividend report - February 2019

It's time to give an update of the dividends I received last month. Five companies decided to pay me a dividend for my ownership. Total dividends (after tax) are around €87, 45% more than last year.

You can see the breakdown in the table below.

The report shows all sorts of things! Firstly there are big dividend raises from Deere and Kinder Morgan. I don't expect these kind of raises to continue, but they are really nice for now!

Secondly there's O with a smaller year-on-year increase. And there's Omega Healthcare (OHI) which stopped raising its dividend since last year. They have to work out various issues regarding to its tenants. I read the recent quarterly earnings report and things are definitely not solved but for now I decided to stand pat.

Finally it's the first month T is contributing to my monthly dividend income. I opened a position earlier this year. Really excited to see the first $20 paycheck returned to me!

Yearly dividend income (before taxes) stands at around €1250 which is a slight increase since last report. This is due to recent dividend raises and a favorable USD.EUR currency exchange rate.

Recent buy: Omega Healthcare Investors

On September 15 I purchased 41 shares of Omega Healthcare Investors for $34.87 per share. I currently own 100 shares of OHI. This purchase will add roughly €90 to my annual dividend income. I believe OHI is reasonably priced, has great growth potential and has been a stellar dividend growth company in recent years.


As a result of my purchase I am overweight OHI in my portfolio Fresh capital and selective dividend reinvestment will hopefully reduce the weight to a more normal level of around 5% to 7% for bigger positions.

Financial Review Of The Debt Structure Of The 4 Biggest Healthcare REITs

In the last few years there have been various occasions where speculation about possible interest rate hikes have impacted share prices in the short term, especially for REITs. Two years ago I wrote an article about the sensitivity of Omega Healthcare Investors and three other healthcare REITs to a possible interest rate hike. You can read the article here.

I concluded that OHI seemed less sensitive to interest rate changes because they only have to refinance a much smaller portion of their debt load before 2019. So this begs the question: at this moment, how do different healthcare REITs compare on the sensitivity to interest rate hikes? Which REIT is best equipped, from an operational perspective, to withstand rising rates in the future?

Want to read the rest of the article? Check it out here!

http://seekingalpha.com/article/4007273-financial-review-debt-structure-4-biggest-healthcare-reits

Omega Healthcare Investors: A Healthcare REIT That Under Promised And Over Delivered In The Last Decade

When I wrote my monthly update last Wednesday and had to write about my Seeking Alpha goal (writing 24 articles this year) I was actually feeling a little bit miserable about myself. I already had some valuation analysis done for Omega Healthcare Investors (OHI) and decided to put it in an article.

I have been a shareholder of Omega Healthcare Investors since December 2013. Back then I opened a position for roughly $30 a share. I was attracted by the consistent revenue growth in the past few years, high dividend growth rate and yield. This purchase has become one of my better buys in the past years with an annualized rate of return of almost 18%. I am contemplating adding to my position, but does that make sense when the stock has performed so wonderful the last 1.5 years? It must be overvalued, right? However there are some great companies like Johnson & Johnson, Colgate and Disney that constantly seem overvalued but still have the ability to provide great rate of returns for a shareholder. I am not comparing Omega to these companies in any meaningful way but still would like to investigate whether the current valuation merits a buy or not.

You can read the rest of the article here:

http://seekingalpha.com/article/3315655-omega-healthcare-investors-a-healthcare-reit-that-under-promised-and-over-delivered-in-the-last-decade

Omega Healthcare Investors: Sensitivity To Rising Interest Rates Compared To Other Healthcare REITs

Last weekend I wrote a post about Omega Healthcare Investors, one of the companies I own in my DGI portfolio. I compared the sensitivity to interest rate changes to other healthcare REITs like Ventas, HCN and HCP. Do you want to know what the outcome is? Read it here!

I am curious to know what you thought of the article. Let me know and drop a comment below or at Seeking Alpha. Thanks!

Recent buy: Omega Healthcare Investors

Today I've initiated a new position. With €1.250 in fresh capital and some extra dividends I purchased 59 shares of Omega Healthcare Investors Inc (OHI). As I previously wrote, OHI is a Real Estate Investment Trust ("REIT") providing financing and capital to the long-term healthcare industry with a particular focus on skilled nursing facilities located in the United States.

O or OHI: What to buy?

I am planning to make a purchase next week. Since I currently don't have any REIT exposure in my stock portfolio, I would like to add some using fresh capital. Especially considering the recent correction in stock prices due to worries about tapering and rising interest rates, this might be a good time to start a position.

Real Estate Investment Trusts
The REIT universe is quite but but I narrowed it down. I am considering two companies at the moment: Realty Income (O) and Omega Healthcare Investors (OHI). Although these companies are active in a different segment, their business is more or less the same.