RE: Definately not the news that many were lookingI am not too distressed by this report. It is somewhat in line with expectations.
However, I will look at the trading pattern tomorrow to do a potential sell at open and repurchase somewhere around where it bottoms. Unless open appears to be at bottom.
Reasons:
1. With the dividend cut they free up $42 M per year in cash flow. Instant profitability.
2. The dividend is still at 9.2% after the cut - at today's price. Look to this being 10-12% tomorrow.
3. I have short term and long term holdings. Day trading accounts, dividend accounts, etc. In my long term dividend portion I still consider this on a sell/rebuy to be good potential. For instance, I bought a good portion at $10.80 when the sky was falling. So with a while of reinvesting dividends, I may still sell this tomorrow at profit. If it really hits, then fine, I'll buy at what is likely an overreaction discount. The reinvestment, plus the 5% drip bonus, makes it still a good potential.
Of course, I prefer when my dividend stocks do things like AD, EIF, PTO, REI, PBH, etc, but if you play the flips right, bottom stocks can be quite lucrative, if risky.
Cheers,
Ogre