Share Buybacks vs. Special Dividend
In the U.S. Dividends are taxed differently than in Canada. The Chairman of the Board is based out of the U.S. and his fund is a large shareholder. In my opinion share buybacks will continue until they exhaust their NCIB. Then there are two options if they have a chunk of cash: Special Dividend or a one time buy back of shares. My bet is both would be on the table to satisfy both U.S. and Canadian investors. Special Dividend first, then when the share price comes down again, One time buy back of shares. That is assuming that they generate enough cash in 2015.
By the way, I think that I have figured out a way for Pulse to improve the share price. It is simple but I do not think that they have thought of it. I have to do a little homework first and I will get back to everyone.
VS