GREY:CRIUF - Post by User
Comment by
Pandoraon Aug 02, 2018 9:31pm
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Post# 28408220
RE:Toe in the water
RE:Toe in the waterjbsbill wrote: I stopped fighting the tape and sold the last of my shares at $5.36 US (CRIUF) in June. Bought back a small amount as a marker at $4.38 US this morning. It's about risk vs. reward.
When buying at these prices of around $5.60 you are getting a dividend in the order of 14.5% -- that is a great opportunity. The only hitch at the moment is that 2nd quarter financials are due out the week after next and there is a possibility that management will possibly cut the dividend. There may not be a real reason for them to cut it other than the market visibility of a 14.5% dividend and high dividends get "tarred". "Experts" say that a high dividend is a sign of financial disaster and investors should stay away -- whether it is fact or not. At times it can be a smear campaign.
If all is right financially and the dividend payout rate maintains a reasonable level this is a great buy for a dividend investment. We will find out in a short time.
Those of us that bought at $9.50 and above are not experiencing that same 14.5% but it is still a respectable figure from a dividend point of view and it's what brought us here. Some are fortunate enough to have the cash flow to average down on their ACB and average up a bit on their current dividend rate.
A great investment at this time? As long as management doesn't cave to a dividend cut the week after next.