4 Dividends up to 20% Wall Street Can't Stand

Four high-yield names — National Storage Affiliates (NSA, ~7.9% yield), Alexander's (ALX, 8.5%), Robert Half (RHI, 9%) and Cricut (CRCT, 20.6%) — are trading with outsized yields driven by operational stress and dividend-coverage risk rather than clear bullish fundamentals. NSA has seen a sharp pullback after weaker quarterly earnings, core FFO, same-store NOI and occupancy (trading near 13x FFO) and its midpoint EPS ($2.20) is slightly below expected annual dividends ($2.28); Alexander's is highly concentrated (Bloomberg tenant ~60% of revenue), managed in part by Vornado, failed to repay an extended $300m loan on 731 Lexington and is negotiating a restructuring while its dividends have consistently exceeded FFO (paid $13.50 vs $9.84 FFO through 3Q25) and trade at >16x 2025 FFO. Robert Half has suffered a steep multi-year share decline and a guidance miss with profits forecast to fall ~45% this year (raising questions about covering a $2.28 annual payout despite management downplaying near-term AI disruption), and Cricut’s 20%+ yield is largely driven by special distributions that analysts view as unsustainable amid flat-to-declining revenue forecasts and a weak 2026 profit outlook. Collectively these cases underscore idiosyncratic balance-sheet and payout risks behind headline yields, presenting potential contrarian opportunities but material dividend sustainability concerns for income-focused investors.

Analysis

The article highlights four high-yield names—National Storage Affiliates (NSA, ~7.9% yield), Alexander's (ALX, 8.5%), Robert Half (RHI, 9%), and Cricut (CRCT, 20.6%)—where elevated yields are driven by operational stress and dividend-coverage risk rather than clear fundamental strength. NSA has slumped roughly 20% in 2025, reported lower earnings, core FFO, same-store NOI and occupancy, trades near 13x FFO, and faces tight payout coverage with midpoint EPS of $2.20 versus an annualized dividend of $2.28.

Alexander's is highly concentrated (Bloomberg ~60% of revenues through 9M25), failed to repay an extended $300m loan on 731 Lexington and is negotiating restructuring; its dividends have historically exceeded FFO (2023: $18 paid vs $15.80 FFO; 2025: $13.50 paid vs $9.84 through 3Q25) and shares trade at >16x 2025 annualized FFO.

Robert Half’s shares are down materially from peak (about 80% since 2022, ~60% YTD), management contests severe AI disruption but guidance missed and profits are expected to fall ~45% this year to $1.34 before recovering to $1.79, leaving a $2.28 annual payout unsupported by near-term earnings. Cricut’s 20%+ yield is disproportionately driven by special distributions (roughly 16 percentage points), revenue growth is flat-to-declining and 2026 profits are expected to weaken, making the current yield largely unsustainable per analysts.

Key Decisions for Investors

• Avoid relying on these dividends for core income allocations given documented payout-coverage shortfalls (ALX and RHI have paid materially more in dividends than FFO/earnings),
• Consider only small, opportunistic positions in NSA if upcoming quarters show stabilization in same-store NOI/occupancy and core FFO (midpoint EPS $2.20 vs $2.28 dividend),
• Reduce exposure or hedge ALX positions until the $300m loan restructuring outcome and tenant concentration risk (Bloomberg ~60% of revenue) are resolved,
• Treat CRCT as a tactical trade only; do not assume special distributions recur and monitor holiday-season demand and 2026 profit guidance before allocating capital