mathjak107
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Jul 27, 2005
- Messages
- 6,210
don’t forget the blue chip graveyard is filled with companies that kept paying dividends right in to the grave .
so dividend payouts have little link to earnings .most companies don’t cut or suspend until losses are severe or to late in the game to help.
These payouts are just amounts the board votes on profits or not.
i owned a reit that was paying a nice dividend using the money it was supposed to be buying properties with as well as loans .
it ended up being killer to all those who bought for the dividend .
you would have to understand how to interpret a quarterly report to understand the dividends were coming from other sources then profits as there was a foot note that reflected that if you understood what the terms used meant , which i did not .
you have stocks paying out despite heavy losses all the time.
so never confuse the fact a dividend is paid with profitability.
they are simply a withdrawal of your invested dollars .
no different then the same dollars coming out of a portfolio of non payers.
we just hope to bounce back in value from appreciation.
some like ge , gm , kodak , polaroid , citi bank , the list goes on and on , never do…
so dividend payouts have little link to earnings .most companies don’t cut or suspend until losses are severe or to late in the game to help.
These payouts are just amounts the board votes on profits or not.
i owned a reit that was paying a nice dividend using the money it was supposed to be buying properties with as well as loans .
it ended up being killer to all those who bought for the dividend .
you would have to understand how to interpret a quarterly report to understand the dividends were coming from other sources then profits as there was a foot note that reflected that if you understood what the terms used meant , which i did not .
you have stocks paying out despite heavy losses all the time.
so never confuse the fact a dividend is paid with profitability.
they are simply a withdrawal of your invested dollars .
no different then the same dollars coming out of a portfolio of non payers.
we just hope to bounce back in value from appreciation.
some like ge , gm , kodak , polaroid , citi bank , the list goes on and on , never do…
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