RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Yoda's troll: companies with market caps in the same rangeYou are actually an idiot. The dividend would be relative to the split so it wouldn't matter. You would have 2 shares that pay a 5 cent dividend instead of 1 share with a 10 cent dividend. You are an absolute idiot. No dilution and nothing changes with a split. MOOSE
YodaLayhehoo wrote:
There comes a point where a company can never pay any distribution to shareholders. I don't think Canopy will ever issue a dividend Bruce has said he doesn't like that which is another topic.
One last try/example.
What I think the company will looking like this year. They have sales of around 300 million. I don't think they make a profit but let's say they do make 10 % net 30 million.
Canopy has done a share split and now has 500 million shares. To issue a .10 cent dividend now costs 50 million more than their earnings. It doesn't matter if they gave you 10x tines your shares in a split if they cannot afford to pay the dividend.