Braemar Hotels & Resorts Preferred Stock Ex-Dividend Date Set

Braemar Hotels & Resorts Inc's 8.25% Series D Cumulative Preferred Stock is set to trade ex-dividend on December 31, 2024. Share prices are anticipated to drop by approximately 2.71% based on the dividend announcement.

Date: 31-12-2024

AI Rating: 7

Dividend Impact on Stock Prices

The upcoming ex-dividend date for Braemar Hotels & Resorts Inc's preferred stock (BHR.PRD) indicates that the shares are expected to decrease by about 2.71%. This is calculated based on the quarterly dividend of $0.5156, which represents a substantial yield of 10.85% on an annual basis. This yield is above the average yield of 10.25% in the Travel & Entertainment preferred stock category, indicating a strong position relative to its peers.

These dividends are a positive signal for income-seeking investors, enhancing the attractiveness of BHR.PRD as a potential investment. The dividend history also suggests a consistent approach to offering returns to shareholders, which can bolster investor confidence.

However, the anticipated drop in share price by 2.71% when trading begins on the ex-dividend date could lead to temporary downturn sentiment around the shares. This is a typical market reaction wherein the share price reflects the payout of dividends, leading investors to assess the stock's value post-dividend payment.

Day Trading Performance

On the day of the report, BHR.PRD is observed to be up about 0.1%, displaying some resilience, while the common shares (BHR) are down approximately 2.3%. This performance could reflect market dynamics and investor behavior as they weigh the attractiveness of dividend earnings against the general market movements for the underlying common shares.

Stocks: BHR