Morning Commentary: Preferreds soft to start week; Urstadt hangs in; Atlas, Yuma list on NYSE

By Stephanie N. Rotondo

Phoenix, Oct. 27 – Preferred stocks had a weak tone as Monday trading began.

The Wells Fargo Hybrid and Preferred Securities index was down 7 basis points at mid-morning.

In recent deals, Urstadt Biddle Properties Inc.’s 70 million issue of 6.75% series G cumulative redeemable preferreds – a deal from Wednesday’s business – continued to hang around $24.90 bid, according to a trader.

In slightly older deals, Atlas Resource Partners LP’s $80 million issue of 8.625% class D cumulative redeemable perpetual preferred units were admitted to the New York Stock Exchange on Monday.

Yuma Energy Inc.’s $11.93 million of 9.25% series A cumulative redeemable perpetual preferred stock meantime began trading on the NYSE MKT.

Atlas came Sept. 25. Yuma priced at a discount on Oct. 16.

The Atlas paper was trading around $24.15 early in the session, but the Yuma shares were radio silent.

Elsewhere in the secondary, First Niagara Financial Group Inc.’s 8.625% series B fixed-to-floating rate noncumulative preferreds (NYSE: FNFGPB) remained under pressure following the bank’s financial release on Friday.

The report showed that the company took an $800 million non-cash goodwill impairment charge for the third quarter, resulting in a quarterly loss of $665 million.

The preferreds were down 15 cents at mid-morning, trading at $27.89. The shares opened at $27.97.

© 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.