ASICMiner, who opted to produced ASICs solely for in house mining, has
started paying dividends to its shareholders.
He's prized these companies for their growth potential, so when the odd one
started paying dividends to shareholders rather than using all available dollars to fund growth, he usually concluded they had passed their innovative prime.
Not exact matches
Arguments can be made either for businesses returning profits or growth
to their
shareholders, but empirical research shows that
dividend yield stocks might produce a return premium
starting with Blume (1980) who found a positive relationship between the risk - adjusted returns and the expected
dividend yield of
dividend paying stocks.
Once they
start to mature and rapid growth slows down, that is when they tend
to pay out larger portions of their earnings
to shareholders in the form of cash
dividends.