PREIT Earnings: Another Guidance Cut for This High-Dividend REIT

Like many mall owners, Pennsylvania Real Estate Investment Trust (NYSE: PEI) has suffered severe earnings pressure in recent years, due to the effects of the so-called retail apocalypse. A rising tide of department store closures and bankruptcy filings for major in-line tenants has forced PREIT and its peers to scramble to backfill space and to invest heavily to improve their properties.

Not surprisingly, investors have responded by dumping PREIT stock. Shares of the embattled retail REIT have lost a third of their value over the past year and about two-thirds of their value over the past three years. This has caused its dividend yield to balloon to around 13%.

Source Fool.com