BB&T's Series E Preferred Stock Crosses Above 5.5% Yield Territory

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In trading on Thursday, shares of BB&T Corp.'s Series E Non-Cumulative Perpetual Preferred Stock (Symbol: BBT.PRE) were yielding above the 5.5% mark based on its quarterly dividend (annualized to $1.4062), with shares changing hands as low as $25.56 on the day. This compares to an average yield of 5.38% in the "Financial" preferred stock category, according to Preferred Stock Channel . As of last close, BBT.PRE was trading at a 2.52% premium to its liquidation preference amount, versus the average premium of 4.54% in the "Financial" category. Investors should keep in mind that the shares are not cumulative , meaning that in the event of a missed payment, the company does not have to pay the balance of missed dividends to preferred shareholders before resuming a common dividend.

The chart below shows the one year performance of BBT.PRE shares, versus BBT:

Performance Comparison Chart

Below is a dividend history chart for BBT.PRE, showing historical dividend payments on BB&T Corp.'s Series E Non-Cumulative Perpetual Preferred Stock:


In Thursday trading, BB&T Corp.'s Series E Non-Cumulative Perpetual Preferred Stock (Symbol: BBT.PRE) is currently off about 0.2% on the day, while the common shares (Symbol: BBT) are off about 4.7%.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Investing Ideas
Referenced Symbols: BBT.PRE , BBT

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