Dividend Stocks: Is Tanger Factory Outlet Centers (SKT) Worth the Investment?
Dividends are one of the most alluring perks of being a shareholder. They offer a steady stream of income that can supplement your salary or even replace it entirely. But with thousands of publicly-traded companies to choose from, finding a great dividend stock is no easy task. One company that has been generating buzz in the dividend investing community is Tanger Factory Outlet Centers (SKT).
What is Tanger Factory Outlet Centers (SKT)?
Tanger Factory Outlet Centers is a Real Estate Investment Trust (REIT) that owns and operates outlet shopping centers in the United States and Canada. The company has been in business since 1981 and currently owns and operates 48 outlet centers in 22 states and four Canadian provinces.
Why is Tanger a Good Dividend Stock?
Tanger has an impressive dividend history. The company has paid dividends every quarter since 1993, and its dividend growth rate has averaged around 6% per year over the past decade. Tanger’s current dividend yield is around 3.7%, which is higher than the average yield for the S&P 500.
Why Should I Care About Tanger’s Dividends?
As a shareholder, you benefit from Tanger’s dividends in two ways. First, you receive regular payments in the form of dividend checks or electronic transfers. Second, the reinvestment of dividends can help grow your investment over time. For example, if you invest $10,000 in Tanger stock and receive a $370 dividend payment, you can choose to reinvest that dividend payment, buying additional shares and increasing your overall investment.
Why Should the World Care About Tanger’s Dividends?
Tanger’s dividends have a wider impact beyond just its shareholders. The company’s outlet centers generate significant revenue from tenant rents and sales taxes. A portion of that revenue is paid out to shareholders in the form of dividends, but the rest is reinvested in the company to maintain and expand its outlet centers. This investment can lead to job creation and economic growth in the communities where Tanger operates.
What Does the Future Hold for Tanger and Its Dividends?
According to recent financial reports, Tanger is expected to continue its dividend growth trend. The company has announced a dividend increase of 1.3% for the first quarter of 2023. However, it’s important to note that past performance is not indicative of future results. Economic conditions, tenant occupancy rates, and other factors can impact Tanger’s ability to maintain and grow its dividends.
Conclusion
Tanger Factory Outlet Centers is a solid dividend stock with a long history of consistent payments and growth. As a shareholder, you can enjoy regular dividend payments and the potential for long-term capital appreciation. Additionally, Tanger’s dividends contribute to economic growth and job creation in the communities where it operates. However, as with any investment, it’s important to do your own research and consider the risks before making a decision.
- Tanger Factory Outlet Centers is a REIT that owns and operates outlet shopping centers in the United States and Canada.
- The company has paid dividends every quarter since 1993 and has an impressive dividend growth rate.
- Tanger’s dividends benefit shareholders through regular payments and potential for capital appreciation.
- Tanger’s dividends contribute to economic growth and job creation in the communities where it operates.
- It’s important to do your own research and consider the risks before investing in Tanger or any other stock.
