STUDENT TRANSPORTATION INC 5.25 PCT DEBS T.STB.DB.A

Rising price, falling yield

[slimjim11]

The bears were right. A 14% yield was unsustainable. As the share price has risen, the dividend yield is down to 12.8%. If the shares keep on rising, it won't be long before the yield falls to "sustainable", aka 4% or less. By then the shares will be at ...... C$0.6271 dividend/4% yield = C$15.68. At that point, when the shares trade for C$15.68 each, the bears might capitulate and call it a "buy". I'm enjoying the irony.