RE:RE:RE:RE:The AIM commons pay more then the prefs!Loonee wrote: It is reasonable to assume the common yield won't stay so attractive. - share price rises due to exaggerated sell-off - share price rises due to buyout rumors, or club premier IPO or new partners - they lower the common payout and direct funds elsewhere (share buyback, debt reduction, acq') The pref' are attractive but lack of liquidity is also a factor there.
I tend to agree that the divident risks being reduced but that will only be announced next quarter results alot will happen before then. As the share price run back up to fair value the divident cuts wont be as drastic and might even be welcomed by investors wanting to see the cash being used for business transformation or buy back. Look at Dream office REIT they cut dividents that the share price shot up as it was the right move. Aimia's been beaten so much that the divident cut is already priced in.
The fact is there is a lot of potential in this one and the upside is way more potential than the risks.