Vornado sells $25-pars; Bank of America preferreds rise; Brighthouse better

By James McCandless

San Antonio, Nov. 19 – Heading into the second half of the week the preferred market made a positive push on Thursday.

In the primary pipeline, Vornado Realty Trust priced a $300 million offering of $25-par series N cumulative redeemable preferred shares with a dividend of 5.25% at par.

Leading the secondary space, Bank of America Corp.’s 4.375% series NN non-cumulative preferred stock was on the rise.

Elsewhere in the finance space, Capital One Financial Corp.’s 4.8% series J fixed-rate non-cumulative perpetual preferreds finished on a positive note.

Sector peer Morgan Stanley’s 4.875% series L non-cumulative preferred stock declined, going against the prevailing trend.

Insurance provider Brighthouse Financial, Inc.’s recent 5.375% series C non-cumulative preferred stock closed in a better position.

Meanwhlie, REIT Public Storage’s 3.9% series O cumulative preferred shares gained some ground as the afternoon ended.

Vornado prices

Coming down the primary pipeline, Vornado priced a $300 million offering of $25-par series N cumulative redeemable preferred shares with a dividend of 5.25% at par.

BofA Securities, Inc., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, UBS Securities LLC and Wells Fargo Securities, LLC are the bookrunners.

The preferreds are redeemable on or after Nov. 24, 2025 at par.

Bank of America rises

Leading in the Thursday secondary space, Bank of America’s 4.375% series NN non-cumulative preferred stock was on the rise for much of the day.

The preferreds (NYSE: BACPrO) were up 15 cents to close at $25.96 on volume of about 690,000 shares.

Elsewhere in the finance space, Capital One’s 4.8% series J fixed-rate non-cumulative perpetual preferreds finished on a positive note.

The preferreds (NYSE: COFPrJ) moved up 5 cents to close at $25.07 with about 177,000 shares trading.

Sector peer Morgan Stanley’s 4.875% series L non-cumulative preferred stock declined, going against the session’s prevailing trend.

The preferreds (NYSE: MSPrL) dropped 28 cents to close at $27.01 on volume of about 170,000 shares.

Brighthouse better

Insurance provider Brighthouse’s recent 5.375% series C non-cumulative preferred stock closed in a better position.

The preferreds, trading under the temporary symbol “BTHFL,” pushed up 16 cents to close at $25.80 with about 258,000 shares trading.

On Wednesday, the preferreds shaved off 1 cent.

Public Storage gains

Meanwhile, real estate investment trust Public Storage’s 3.9% series O cumulative preferred shares gained some ground as the afternoon ended.

The preferreds (NYSE: PSAPrO) racked up 5 cents to close at $25.00 on volume of about 246,000 shares.

On Wednesday, the preferreds garnered 11 cents.

Indexes up

The Wells Fargo Hybrid & Preferred Securities Financial index finished the day up by 0.18%.

The index closed down by 0.27% on Wednesday, capped Tuesday down by 0.17% and was up 1.25% on Monday.

The iShares US Preferred Stock ETF was up 6 cents to $37.60.

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