Is Admiral’s high yield a warning to investors?

For reasons that escape me, UK financial stocks are massively out of favour.

For example, Admiral, one of the UK’s largest motor insurers, has a dividend yield of 7.5% at its current share price of £25.

That kind of yield is usually reserved for cigar butts and basket cases, so does that describe Admiral, or is the market materially undervaluing this business?

You can continue reading this blog post on my new website, UKDividendStocks.com:

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Author: John Kingham

I cover both the theory and practice of investing in high-quality UK dividend stocks for long-term income and growth.

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