1. Small caps are recovering, signaling potential growth for FBRT. 2. FBRT trades at a 23% discount to book value. 3. NewPoint's acquisition positively impacts FBRT's distributable earnings. 4. FBRT's dividend coverage remains uncertain after Q3 performance. 5. Lower Fed rates may boost small caps, including FBRT.
FAQ
Why Bullish?
FBRT's strong dividend yield of 13.3% remains attractive. The ongoing recovery in small caps suggests upward pressure on its stock price.
How important is it?
The article highlights market trends that favor small caps, including FBRT. Its high dividend yield remains competitive, making it a target for income-focused investors.
Why Short Term?
Upcoming Fed rate decisions and market sentiment can quickly affect FBRT's price. Historical examples show that dividend yields often attract investors when rates drop.