; Is there a risk
of dividend cut greater than history would indicate?
Not exact matches
Peabody's problems have only expanded so far in 2015: Forecasting
greater losses than originally anticipated, the company reduced its
dividend, laid off workers and even
cut the salaries
of its top executives temporarily in a desperate attempt to keep the company afloat.
About 500 companies
cut or halted their
dividends last year, the highest tally since the economy was crawling out
of the
Great Recession in 2009.
Yeah, the
greater risks
of dividend cuts comes with the
greater yields.
There really is no clear -
cut winner here; however, as one moves from U.S. to global to international: (1) There tends to be
greater volatility in the price
of the chosen investment vehicle, and (2) There tends to be higher
dividend payments for the
greater risk associated with foreign stocks in your mix.
The adverse impact
of the
Great Recession in 2008 dismisses thousands
of companies on earnings - per - share losses as well as
dividend cuts / suspensions.
Like many stocks, CHW
cut it
dividend during the depths
of the
Great Recession 2009.
If you go back to the years
of the
Great Depression, you can find worse
dividend cuts.
There's a
great deal
of speculation that BP might be forced to
cut or even suspend its
dividend (currently 9.9 %) due to the costs
of the cleanup and / or political pressure (the Obama administration is pressuring BP on this front and recent reports are that the company will indeed do so).
It's funny, people point to the recent
Great Recession and some bank stocks
cutting dividends as a reason that DGI somehow doesn't work, yet you would have been hard pressed to see a 20 % pay
cut as a
dividend growth investor, even at the height
of it all — unless you were primarily invested in bank stocks and didn't give a damn about diversification.
Businesses with high debt levels can be at
greater risk
of cutting their
dividend if they unexpectedly fall on hard times.
Great summary
of GE, I didn't know they had
cut their
dividend before in 2009.