On Monday, American Assets Trust Inc (AAT) shares were trading at a low of $19.36, yielding over 7% based on an annualized dividend of $1.36. This yield positions AAT as an attractive option for investors, particularly in light of historical data showing that dividends can significantly enhance total stock market returns.
For context, an analysis of the iShares Russell 3000 ETF (IWV) demonstrates that despite a nominal loss in share price from 2000 to 2012, dividends collected during that period resulted in a total return of 13.15%. This reinforces the importance of dividend yields, especially when they exceed 7%, making them worthy of close attention. As a member of the Russell 3000, AAT is among the largest companies in the U.S. stock market, further emphasizing its potential as an investment.
Dividends can be unpredictable and often depend on corporate profitability. An assessment of AAT’s dividend history may help investors determine the sustainability of the current yield.
