However, DHT cut its dividend a bit, trimming its 25 cents per
share dividend down to 23 cents.
Not exact matches
Combine that with a sparkling balance sheet and its history of never cutting its
dividend — the yield is now 2.5 % — and its beaten -
down share price (
down by a third over the past two years) looks like an opportunity to pick up a high - quality bargain.
The combined costs of a series of catastrophic weather events and a one - off hit to its Northern operation forced QBE's profit
down 248 per cent, compared with profit a year earlier of $ US844 million.Dividends also took a hit, with the insurer declaring a final
dividend of 4 cents per
share,
down from the 33 cents payout a year ago.
I was looking at HPQ for as it trended
down from 12 to 10 and then to 9 a
share despite financials being solid and the
dividend close to 5 %.
However, with the recent market slide the past couple weeks many
dividend investors are starting to consider adding these formerly high PE stocks now that
share prices have come
down a bit.
Dividends also took a hit with the insurer declaring a final
dividend of 4c per
share,
down from the 33c payout a year ago, after catastrophe claims contributed to a $ 632 million after tax cash loss during the second half.
However, for stock market companies, simply creating new
shares or issuing stock options by fiat that are given away to employees without the company selling them at full value, existing shareholders would experience an economic dilution in profits (
dividends) per
share going
down because of a larger number of
shares and, importantly, in economic value, being given away (
shares of the company are literally being simply granted to someone else, namely employees).
Building A Snowball By
Dividend Mantra In this article, Jason has beautifully explained building a growing snowball and could not agree more as I've been talking about Snowball effect since long time, where a small ball of snow (a small initial dividend buys more shares) that is rolling down hills, gathers more snow (increasing dividends due to more shares) with ever - growing speed (due to growing earnings) and becomes a self - sustaining machine that can support your rich li
Dividend Mantra In this article, Jason has beautifully explained building a growing snowball and could not agree more as I've been talking about Snowball effect since long time, where a small ball of snow (a small initial
dividend buys more shares) that is rolling down hills, gathers more snow (increasing dividends due to more shares) with ever - growing speed (due to growing earnings) and becomes a self - sustaining machine that can support your rich li
dividend buys more
shares) that is rolling
down hills, gathers more snow (increasing
dividends due to more
shares) with ever - growing speed (due to growing earnings) and becomes a self - sustaining machine that can support your rich lifestyle.
Investors who reinvested
dividends earned 7 percent annually, thanks to all the additional
shares they bought when the market was
down.
Meanwhile,
shares of Aflac — one of the best
dividend growth stories of the last decade — are
down roughly 3.8 %.
... invests in 100 [U.S. listed] stocks with market caps greater than $ 200 million that rank among the highest in (a) paying cash
dividends, (b) engaging in net
share repurchases, and (c) paying
down debt on their balance sheets.
That would set me up to potentially collect another $ 94.00 in cash income ($ 0.47
dividend per
share X 200
shares)... bringing my cost - basis
down to just $ 84.55.
Also, when the
share price of company xyz goes
down by 40 % during a recession, their
dividend payout will not necessarily decrease by 40 %.
If stocks go
down, the
dividend yield will be higher, you can acquire more
shares for your investment dollars, and thus you will receive a higher return from
dividends.
The basic premise behind the strategy is that companies have three options for returning cash to shareholders —
dividends,
share buybacks, and paying
down debt.
The
dividend has gone up, while the
share price has gone
down, since I last looked at it.
However, «between 2008 and 2009, GE stock fell from roughly $ 40 /
share to less than $ 10 /
share, and the company slashed the
dividend from $ 1.24 for the year
down to $ 0.40» (1).
Also bought CVX at 122.5... Now I think PM and MO both pretty attractive, also they gonna raise
dividends... both are in top 5 - 6 of my portfolio, but if PM is going
down another 2 - 5 %, I probably gonna add more
shares.
The extra
shares purchased and accumulated at higher
dividend yields during
down periods help protect portfolios in falling markets, and when these extra
shares rise in value in good times, they accelerate returns.
Another beaten -
down rate reset he has purchased is Element Financial Corp. «s (series G) preferred
shares, which offer a current
dividend yield of about 6.8 per cent, or an after - tax interest yield of about 10 per cent.
An income
dividend or capital gain distribution gets deducted from a fund's
share price on the ex-date, even if the fund price ended overall either up or
down for the day due to market fluctuations.
(xiv) Many believe that a steady $ $
dividend in a period of stock price volatility, allows the reinvested
dividend to purchase more
shares when the stock is
down, and less
shares when the stock is high, producing extra returns from a dollar - cost - averaging effect.
In addition, the firm now pays a quarterly
dividend of only $ 0.14 per
share, which is well
down from $ 0.27 per
share last year.
Earnings per
share were $ 1.41,
down 16.1 % from 2013, giving the company a current payout ratio of 27.7 % (based on the current annualized
dividend rate of 39 cents).
In an economic
down turn,
dividend stocks will still try to pay out
dividends regardless of how low their
share price may go.
SYLD invests in 100 stocks with market caps greater than $ 200 million that rank among the highest in paying
dividends, buying back
shares, and paying
down debt.
• The company pays
dividends, pays
down debt and / or buys back
shares; • Strong return on investment; • High earnings potential; • Attractive (low) price; and • Improving market expectations (will go up).
If the mortgage interest rate spiked to high levels, say 10 % or higher, you could then consider paying
down your mortgage further by re-directing
dividend payments or selling a chunk of
shares.
With treasuries yielding next to nothing, and the fear of a future market
down - leg on people's minds, investors have flocked to companies that pay solid
dividends, have solid balance sheets, and generally have less volatility in their
share price.
When you reinvest
dividends as you receive them, the
down markets are a gift that allow you to accumulate more
shares at low prices.
Shareholder equity was
down slightly year over year; Net income plus
share - based compensation was more than offset by
dividend payments and the write -
down of available - for - sale securities.
Share price appreciation is dependent on some corporate event like a share buyback or extraordinary dividend and will probably lag in an up market and outperform in a down ma
Share price appreciation is dependent on some corporate event like a
share buyback or extraordinary dividend and will probably lag in an up market and outperform in a down ma
share buyback or extraordinary
dividend and will probably lag in an up market and outperform in a
down market.
While the
share price is
down a little on the Fund's average purchase price, the annual
dividend of close to 10 % is appreciated.
Should a
dividend paying company buy back
shares or pay
down debt?
I have made the concious decision to index invest and create my own
dividend via selling of
shares when the time comes to draw
down my portfolio.
No — it's usually because the
dividend gets cut and then, in an instant, the whole reason for buying the
shares in the first place goes up in smoke (followed by the
share price going
down the drain).
This means as long as the
dividend stays the same, and the
share prices go
down, my
dividends will only buy more
shares.
Should I expect prices of mutual fund
shares to go up in anticipation of
dividends,
down after
dividends have paid out... or just trust that the market has already reacted to that and the price is basically fair throughout the period?
The portfolio has achieved this by investing over 90 % of the
dividends received back into more
shares of the companies held within the portfolio (along with some aggressive moves in
down markets and disciplined actions as portfolio manager).
Notice how the
dividend (blue line) has continued steadily upward, with annual increases, to its current value of $ 0.66 per
share (quarterly), while the stock's price (orange line) has gone up,
down, and sideways.
DVY's
dividend has dropped to 0.43768 per
share,
down from a peak of 0.67784 per
share from March 25, 2008, a drop of 35.4 %.
The problem though is that Hershey and Brown Forman rarely get cheap or even present investors with an opportunity to buy
shares at a fair price (what does it tell you when it takes a financial crisis to knock these stocks
down to fair value), and the businesses are so strong that they still deliver great returns even when the
shares only offer a starting earnings yield around 3 - 4 % and a
dividend yield half that.
As it pays
down debt, it also has more money for
share buybacks and for future increases to a
dividend that currently yields 4.7 %.
Specifically, SYLD invests in 100 stocks with market caps greater than $ 200 million that rank among the highest in (a) paying cash
dividends, (b) engaging in net
share repurchases, and (c) paying
down debt on their balance sheets.
Still, with the
shares trading about 4.5 x projected 2011 earnings and the company paying a significant
dividend — in 2010 it was $ 1.54 per ordinary common
share (which translates to about $ 1.07 per ADR),
down from $ 1.75 in 2009 and $ 2.20 in 2008 — this makes for an interesting value proposition.
[And as for any actual existential risk Saga Furs might face, I've also written about that before: Based on the company's ongoing earnings /
dividends, the substantial gap between the current
share price & book value (which I believe is fully realisable in a wind -
down scenario), the likely implementation of transition periods / grandfathering clauses / a compensation regime / etc... I'd expect Saga Furs would turn out to be a decent investment regardless, even in such a (remote) scenario.]
CENOVUS ENERGY $ 12.26 (Toronto symbol CVE;
Shares outstanding: 1.2 billion; Market cap: $ 15.1 billion; TSINetwork Rating: Average;
Dividend yield: 1.6 %; www.cenovus.com) continues to sell assets to pay
down its $ 12.5 billion debt.