Alpine Income: 5.3% Dividend Hike And Dual Beats Support Ongoing Rally

2026-02-16 01:55:14 ET

Alpine Income Property ( PINE ) is raising its dividend distribution by 5.3% at a time when investors are on the hunt for safe dividend yields in an economic environment that's being defined by volatility and uncertainty. The list of headwinds for REITs is not immaterial. Most notably, recent Fed rate cuts have failed to drag down long-term U.S. Treasury yields, with the 10-year Treasury rate ( US10Y ) actually higher now than when the Fed first cut at the September 18, 2024, rate-setting meeting. This has kept the yield investors are demanding to hold REITs higher than the pre-pandemic average. The CME FedWatch Tool currently has a more modest 50 basis points of rate cuts through 2026 as its base case, setting up another possibly constrained year for REIT total returns if long-term rates fail to dip in response to these pending cuts. PINE has bucked the broader trend, with REIT last declaring a quarterly cash dividend of $0.30 per share , a 5.3% increase versus its prior distribution, and $1.20 per share annualized for a 5.85% dividend yield. The yield has dipped materially from when PINE was trading at its lows just in October. I last covered PINE in the 2023 rate-hiking cycle....

Read the full article on Seeking Alpha

For further details see: