Dividend income is generated by stocks in your portfolio that
pay dividends to shareholders as a means of redistributing company profits and thanking investors for their continued support.
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.
The oilfield services company announced this week that it would cut 2,000 employees from its North American work force, and will
stop paying dividends to shareholders, citing difficult market conditions.
That's enough to carry Barrick's debt load, but the company's ability to make new investments and
pay dividends to shareholders could be at risk — especially if gold prices stay low or fall further.
This marks 282 consecutive quarters — dating back to 1948 — that Southern Company will have
paid a dividend to its shareholders that is equal to or greater than the previous quarter.
With each new NEO block generated, GAS is distributed to all NEO holders — this process is similar to the way a company might
pay dividends to its shareholders.
I want them to be able to use those profits to
pay dividends to their shareholders — including employee - owners,» he said, insisting that would benefit customers, workers and savers.
The dividend payout ratio is a simple financial calculation that looks at what percentage of a company's net income is used to
pay its dividends to shareholders.
Assuming the company decides not to
pay a dividend to the shareholders (so the shareholders can reinvest the money themselves), financial managers within Pfizer must identify new projects that offer a higher rate of return than what they could get if they simply invested the money in the financial market (this being the opportunity cost of capital).
This idea is deeply ingrained in many investors, but it is an illusion, because a company that
pays a dividend to shareholders is depleting its own capital.
Investing into companies which are
paying dividends to their shareholders can be a good thing.
ABM Industries (ABM) has an amazing track record when it comes to
paying dividends to shareholders.
There are three options they can choose from:
pay dividends to their shareholders, reinvest the profit, or do both things at the same time.
They generate lots of cash that you can use to
pay dividends to your shareholders or you can invest in new high - return, attractive projects.»
These activities include issuing or buying back stock, issuing or repurchasing debt, and
paying dividends to shareholders.
Assists users of financial statements in evaluating the company's ability to generate cash internally, repay debts, reinvest and
pay dividends to shareholders.
If the company is faced with liquidity or cash flow problem, the company may not be able to
pay dividends to its shareholders.
Smaller companies are often focused on growth, so they are more likely to reinvest their profits in the business, rather than
paying dividends to their shareholders.
With this last hurdle removed, even some tech companies that used the tax argument to avoid paying dividends have now started to
pay dividends to their shareholders.
The company is very efficient in using up all the cash it has and it is not necessarily for the cause of
paying dividends to the shareholders (current yield, 1.2 %) or buying back common stock (net purchase in last 10 years = zero).
This can be as easy as having the company use its excess cash to pay off debts or
pay dividends to its shareholders, or it may involve a corporate reorganization to transfer the non-active assets into a separate company.
With each new NEO block generated, GAS is distributed to all NEO holders — this process is similar to the way a company might
pay dividends to its shareholders.