TSX:CUS.DB.D - Post by User
Comment by
Khersonon Jul 23, 2014 7:38am
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Post# 22772522
RE:RE:August 6th Conference Call?
RE:RE:August 6th Conference Call?nelsonnelly wrote: What do you anticipate is going to happen to the SP if your prediction becomes a reality? In other words, if the POR is as high as you are suggesting it's going to be, will there be a selloff? If so, where will it leave the SP.
I recall that after the last conference call we saw the SP go as low as 3.97 or so, but closed the session, if my memory serves me right, in the green that day. I don't know how the market is going to react this time though.
Keep in mind Nelsonnelley that the 1st Quarter payout ratio was well over 100%, even with the dividend cut and 4th quarter of 2013's actual payout ratio was around 200%, but was not reported as such as Canexus fudged their actual share count when publishing the dividend information. Their newest share offering got paid the 4th Quarter dividend, but was not included in their payout calculation. But what is even more alarming is the fact that the payout ratio for the 2nd Quarter of 2013 was actually up to 140%, and we all know that Canexus is in worse shape this year than last year, at this time.
The only thing that Canexus can do to put itself on a firmer financial footing is to eliminate the dividend. Who knows where the share price will then end up...
Kherson