RE:RE:RE:RE:RE:RE:RE:Strength or weakness?If you knew you were going to raise your dividend 120% which would ostensibly rerate your stock and raise it's share price you would think you would take advantage and yeah at least buy back what you had planned to issuei in the following year for performance perks and hopefully they did. Sedi reports for Nov not out yet so maybe they did.
Regardless the market is not going to care. They are going to latch onto that 120% divi increase and bring the share price up to lower the yield to the 5% -6% range like it is trading at now IMO. That would put the future share price floor around $20 This stock will be way more attrective to fund managers and dividend income investors especially with NG becoming the golden fuel of the future.
It is a bold move that I have to assume that managements knows what it is doing spending this much FCF on rewards instead of on debt repayment and I can only hope that they know the hedges that are falling off will produce a far greater amount of FCF than we think.
If not the share price will pay for it in the future as the divi must first and foremost be sustainable in order to be attractive and not just high.
GLTY and all
houbahop wrote: More of the same...
Earlier this year, the claim of reducing debt by over $350m in 2022 with a $375m capex program was nothing else than words not to be trusted. But it was already then very predictable.
More than doubling the dividends and not buying a single share under a NCIB when shares trade so cheap is completely stupid. If they are to print 3-4 million shares for RSU and other perks based on performance, why not buy these shares on the market when they trade cheap?
Good quarterly results, better than I expected.
Nice to see decent hedges put in place after the end of the quarter.
In the end, I keep lowering my position in PEY and increase the one in TOU.
Much better execution at all levels.