CenturyLink cuts dividend by >50%

[ownyourfuture]

Not trying to be argumentative, or disrespectful, but when a company has a 5-year chart that looks like this, it might be time to cut bait.


That's not to say they couldn't turn things around. So if you decide to hold the shares, I hope it works out for you.

I had one of them myself. Started out as my local telephone company. Did very well on its own. But then it was acquired by another telecom, then they merged with another company, then another merger. During the merger years, it gradually went up, & by late 2016, it was just under $30.00
It's been downhill ever since. I sold around $12.00 Took the proceeds & dollar cost averaged into VIG.
It's now trading around $10.50 & the dividend yield is up to 15.48%
I don't wish it upon anyone, but I expect a sizable dividend cut in the near future.

 

[teej1985]

I'll give you some valuable advice, stay away from Global X funds. They are the shortest ticket to losing your capital. Their preferred funds are perennial losers. Look at their returns over the past 5 years. Just horrible! For that matter most of their funds are perennial losers.

Rick Ferri mentioned on the White Coat Investor that all of his fixed income allocation is in PFFD except for two years in a short term bond fund.

 

[Brat]

CenturyLink provides my phone and wifi. I am so frustrated with their wifi service I am researching XFinity's offerings. In earlier times they were USWest, aka US-worst.

 

[Freedom56]

Rick Ferri mentioned on the White Coat Investor that all of his fixed income allocation is in PFFD except for two years in a short term bond fund.

Rick FerrI? Who cares what he says... He probably got bribed for pumping up that loser fund which is an under-performer. Morningstar doesn't have too many good things to say about it.

https://www.morningstar.com/etfs/bats/pffd/quote.html

Just look at this loser from GlobalX - another preferred fund. Morningstar has it ranked as a one star fund. Look at the dismal performance:

https://www.morningstar.com/etfs/arcx/spff/quote.html

Plus it a whopping 1.65% return over the past 5 years and they call it a "Super Income" Preferred ETF. What a joke!

https://www.globalxetfs.com/funds/spff/

Take a look at this one, it has negative returns for the past 5 years:

https://www.globalxetfs.com/funds/sdiv/



What GlobalX is good at is getting uninformed people to put money into their ETFs and collect fees and eventually liquidate the fund once the small number of investors flee due to poor performance. PFFD is already under-performing versus the preferred index which is up almost 12% YTD. This is a red flag. I have been investing in fixed income instruments for 30 years now. I wouldn't touch any preferred ETF or passive bond fund let alone one from a company that is known in the industry for consistently losing money for uninformed investors.