My name is Rich Hill (I Prefer Income). I am writing to introduce myself and my new website – https://www.ipreferincome.com
As my Seeking Alpha profile says; “I am retired”, but as an investor, you never really retire. There is always more to learn and investments to discover that will help you and your family reach or exceed your financial goals.
I have been reading SA articles for many years to provide myself with sound investment opportunities. Eventually, I concluded that I was leaning on SA authors’ informative articles a little more than I should. I realized that I was letting the authors do the research for me. Yes, I benefited from their work and learned a lot, but I also realized I wanted to take more control of my own investment decisions by becoming my own analyst. I wanted to “rely on myself” for doing the research that would lead to discovering sound investments that met my personal requirements.
Being an income investor with a preference for safety and higher yields, I had been tracking preferred stocks, ETD securities, BDC, MLPs, REITS, MREITS, and CREITS for years. I soon realized that I needed additional information to do quality research. Having a penchant for doing things myself, I began the process of re-programming my old excel spreadsheet program to automatically pull data in from 2 outside data sources. This provided a huge amount of financial information; but unfortunately, these resources did not have Non-GAAP information, which is key to analyzing many of these securities. That meant that I would have to scour financial statements and SEC documents to obtain these figures on my own.
Without going into the details of this massive project, the results are the website ( https://www.ipreferincome.com) and the spreadsheet program that provides information on preferred stocks and ETD securities. The spreadsheet includes all preferred stocks and ETD securities (does not includes convertibles), along with their parent or issuing company. It also includes a large amount of important financial metrics to help the investor in their research efforts. These metrics include not only GAAP, but also Non-GAAP metrics. As an example, we display both GAAP earnings and Non-GAAP earnings or cash flow. See example of EPS and AFFO earnings for AHT.
With this spreadsheet program, I am now better able to do my own research and to make sound investment decisions without getting the approval or nod from an outside SA analyst. Ok, I still read all of the articles and take their advice, but I am now a fisherman, not someone that must obtain their fish from others. (Ok, that sounds corny, but it is true). SA analysts are always using financial metrics to back up their views on a company’s financial strength. Here are some of the metrics and info we provide: Last 5 years and 5 quarter of profit & loss results, dividend stock payout ratio, preferred stock dividend payout ratio, net cash flow payout ratio, Interest coverage ratio, debt to EBITDA ratio, debt to equity ratio, price to book ratio, Moody’s and S&P credit ratings, forward yield, yield to call and dividend diamonds (companies that have consecutively increased dividends 5 or more years). One of the things I am most proud of is to identify the companies that report in Non-GAAP earnings or cash flow and to then provide that information by comparing their GAAP earning to Non-GAAP earnings.
Another important feature of our program is the use of a filter program using 15 different criteria. Since we track over 500 preferred stocks and ETD securities and the parent or issuing company, there is a lot of information to sift through. Using the filter is easy. Select the criteria of interest (lets say: Price < 25.50, Yield > 6, Yield To Call > 6.5, Pref stock payout < 1 ) and within about 3 seconds the program will kick out a list of every security that meets that list of requirements along with all of the metrics and information that we make available. Click here to see a video on how to use the filter.
I am writing to inform those with an interest in income investing that we are now opening our website and spreadsheet to the public. To view the website, go to www.ipreferincome.com . However, to have access to the spreadsheet, you will have to become a member. There is currently a 1 MONTH FREE PLAN that will allow you to download the spreadsheet to your own computer for review. (Note: If for some reason you do not wish to join at this time; but would like to view the spreadsheet program, send me an email and I will send you an email with the spreadsheet attached.) The website provides a lot of helpful information, including videos, to help the visitor and member. Additional information is in the works. If you do get a chance to download and review the spreadsheet, it would be a good idea to review the Spreadsheet Basics article or the video series located on the Info page. If you don’t, make sure to at least click on the User Guide, Filter button and yellow macro cells.
I appreciate the benefits of preferred stocks and ETD securities. They provide more safety that the common stock of their parent and offer a higher yield than can generally be found in today’s marketplace. To learn more, please visit our website and subscribe. I believe we provide important tools for all income investors interested in safety and income.
I Prefer Income