10 Best Dividend Stocks Yielding at Least 7% According to Analysts

3. MFA Financial, Inc. (NYSE:MFA)

Upside Potential as of February 5: 18.5%

Dividend Yield as of February 5: 13.23%

MFA Financial, Inc. (NYSE:MFA) is an American specialty finance company that mainly invests in residential mortgage loans and other real estate assets. Mortgage REITs differ significantly from traditional REITs and typically offer higher dividend yields. Instead of owning physical properties, they invest in real estate debt, such as mortgages. Their earnings come from interest income, and they use leverage to enhance returns, functioning more like a bank or hedge fund. Since the start of 2025, the stock has surged by over 3.5%.

In the third quarter of 2024, MFA Financial, Inc. (NYSE:MFA) distributable earnings of $0.37 per share, while its economic book value increased by approximately 1% to $14.46 per share from $14.34 at the end of June. During the quarter, it acquired or originated more than $565.2 million in residential mortgage loans, carrying an average coupon of 9.4%. In addition, it added $294 million in Agency MBS at favorable yields. The company also completed two loan securitizations within the quarter and an additional two after the quarter ended.

MFA Financial, Inc. (NYSE:MFA)’s cash position also came in strong in Q3 2024. The company ended the quarter with over $305.6 million available in cash and cash equivalents. It has been making regular dividend payments to shareholders since 1998, which places it on our list of the best dividend stocks. The company’s quarterly dividend comes in at $0.35 per share for a dividend yield of 13.23%, as of February 5.

Insider Monkey’s database of Q3 2024 indicated that 12 hedge funds held stakes in MFA Financial, Inc. (NYSE:MFA), the same as in the previous quarter. The total value of these stakes is nearly $35 million.