Aytu to tap market; AT&T leads positive shift; Wells Fargo preferreds improve

By James McCandless

San Antonio, March 2 – In a reversal of last week, the preferred space ended Monday with gains across the board.

Starting the week’s primary market, Aytu BioScience, Inc. plans to price an offering of $17.50-par series I cumulative redeemable preferred stock with a dividend of 11%.

Driving the secondary recovery, telecom services provider AT&T, Inc.’s 4.75% series C perpetual preferred stock shifted upward.

Meanwhile, in the finance space, Wells Fargo & Co.’s 4.75% series Z non-cumulative perpetual class A preferred stock improved.

Sector peer Capital One Financial Corp.’s 4.8% series J and 5% series I fixed-rate non-cumulative perpetual preferred stocks gained ground.

REIT AGNC Investment Corp.’s 6.125% series F fixed-to-floating rate cumulative redeemable preferreds trailed, going against the trend.

Elsewhere, insurance name MetLife, Inc.’s 4.75% series F non-cumulative preferred stock received a boost.

Aytu on tap

In primary market activity, Aytu BioScience plans to price an offering of $17.50-par series I cumulative redeemable preferred stock with a dividend of 11%.

H.C. Wainwright & Co., LLC is the bookrunner.

Dividends are payable on the 15th day of each month.

The preferreds are redeemable after five years. Prior to that, the preferreds are redeemable within 120 days after a change of control.

AT&T positive

Driving the secondary recovery on Monday, telecom services provider AT&T’s 4.75% series C perpetual preferred stock shifted upward.

The preferreds (NYSE: TPrC) were up 29 cents to close at $24.68 on volume of about 1.6 million shares.

On Friday, the preferreds dived 33 cents.

Wells Fargo adds

Meanwhile, in the finance space, Wells Fargo’s 4.75% series Z non-cumulative perpetual class A preferred stock improved by the end of the session.

The preferreds (NYSE: WFCPrZ) gined 31 cents to close at $24.80 with about 839,000 shares trading.

On Friday, the preferreds slid 36 cents.

Sector peer Capital One’s 4.8% series J and 5% series I fixed-rate non-cumulative perpetual preferred stocks gained some of last week’s lost ground.

The series J preferreds (NYSE: COFPrJ) picked up 30 cents to close at $24.59 on volume of about 513,000 shares.

On Friday, the preferreds dipped 27 cents.

The series I preferreds (NYSE: COFPrI) improved by 53 cents to close at $25.19 on volume of about 438,000 shares.

AGNC down

Real estate investment trust AGNC’s 6.125% series F fixed-to-floating rate cumulative redeemable preferreds trailed by the close, going against the prevailing trend.

The preferreds (Nasdaq: AGNCP) lost 9 cents to close at $24.15 with about 510,000 shares trading.

On Friday, the preferreds declined by 25 cents.

MetLife boosts

Elsewhere, insurance name MetLife’s 4.75% series F non-cumulative preferred stock received a boost through the afternoon.

The preferreds (NYSE: METPrF) jumped up by 92 cents to close at $25.50 on volume of about 379,000 shares.

Indexes up

The Wells Fargo Hybrid & Preferred Securities Financial index was lifted 1.79%, improving on a 0.52% rise from early Monday trading and erasing Friday’s 1.47% loss.

The iShares US Preferred Stock ETF was up 55 cents to $36.69.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.