Long Run Explor Ltd Ord WFREF

Pays to maintain Dividends

[groupguru]

LRE may cut the dividend, but I highly doubt it will eliminate.
There are significant advantages to maintaining a dividend over conserving cash, such as keeping investors interested in the stock, and that it may drive off a certain type of investor should it eliminate the dividend totally.

I believe that companies in this sector that refrain from eliminating their dividends will be seen as stronger firms able to weather and draw more investment down the road when the market recovers.   Unless the company is in a position where the dividend will mean failure (I don't see that here) there is strong support for the position to maintain payments of dividends.

LRE is oversold, it should be nearly 2$ per share in this market not 1$, its a buy all day long.