First Majestic Silver Corp T.AG

KN has spoken about what dividends will accomplish....

[mattbigham]

....numerous times,but you have to care to listen and not just be blowing smoke out your ar$e all day long.

Large institutions and funds will buy the stock to hold for the dividend.That helps stabilise and strengthen the sp as less shares are available.
Short sellers are responsible for paying the dividend.
Shorts will then go onto an easier victim where the company does not issue a dividend and is less stable.
Less volatility also discourages our flipper friends.
Finally,dividends rewards shareholders and encourages them to hold.


Financial Post article on how companies can combat short sellers:

Increase your dividend

When you short a stock, you are selling a stock you do not own. Thus, when a dividend is paid on the stock, it is your responsibility to cover the dividend. This can be an ongoing cost to short sellers, and was one of the points cited in our earlier article on picking stocks that won’t get shorted much. Short sellers really do not like paying dividends to someone else.

[BushweedJA]

This post has been removed in accordance with Community Policy

[papalegros]

Mattbigham, if I understand your post, you're saying that a dividend will increase the price of the FR stock. But what does this change to the FR Corp itself?? Nothing 

[mattbigham]

Dividends  protect the company/share price from unscupulous short sellers/predators. That strengthens the share price. Dividends attract large funds and companies that invest for income and stability. That strengthens the share price. Loyal shareholders such as myself are further protected from charlatans/flipper predators and paid for said loyalty. The change is monumental as many invest for

[oldfx1]

This post has been removed in accordance with Community Policy

[oldfx1]

This post has been removed in accordance with Community Policy