GREY:CRIUF - Post by User
Post by
PeterM1on Jan 17, 2019 6:15am
205 Views
Post# 29243938
A prudent change with long term benefits
A prudent change with long term benefits Looks to me that the change in the dividend payment schedule from monthly to quarterly will result in shareholders being paid a total of 69. 67 cents per share in 2019 - which will result in a reduction 13.84 cents in the pocket of investors for this year - that is assuming KWH does not increase or decrease the forecast rate of 20.9 cents per quarter. If dividend stays the same, dividend total for 2020 will rise to 83.6 cents - about the same as paid in 2018.
All this makes a lot of sense to me. It certainly will give KWH a lot more financial stability and a better ability to service the dividend with the vagaries of monthly cash flow inherent in their business. When things settle down, KWH should start trading closer to the dividend yield of Just Energy. This could result in a share price of about $10.00 a share. Just Energy took a while to gain market respectability - it will be the same for KWH.
| Period | Record Date | Payment date | Amount |
| | | | |
| December 2017 | 12/31/2017 | 1/15/2018 | 0.0684 |
| January 2018 to November 2018 (11 months .0697) | | | 0.7667 |
| Total distributions Paid 2018 | | | 0.8351 |
| | | | |
| December 2018 | 12/31/2018 | 1/15/2019 | 0.0697 |
| First Quarter 2019 ending March 31 | 5/31/2019 | 6/17/2019 | 0.209 |
| Second Quarter ending June 30 | 8/31/2019 | 9/31/2019 | 0.209 |
| Third Quarter end September 30 | 11/31/2019 | 12/31/2019 | 0.209 |
| Total distributions to be paid in 2019 assuming KWH maintains quarterly rate of .209 | | | 0.6967 |
| | | | |
| Difference | | | 0.1384 |