RE:RE:RE:Effet domino?Hi Sawasdeekrab,
Thanks for sharing your theory. Maybe our share price would be a lot stronger if dividends were being issued...share price gains before quarterly reports (last quarter was an exception) are probably driven by a 'hope' that dividends will be paid....only to see a fall when not paid.
Our share price movement is generally being driven by IO price, which has dropped circa 60% from all time highs. Big salary increases (mind you on par with industry rates) for the exec's is unlikely to be a factor.
I am amazed that the market still struggles to see the real value offered by our company. When we started to move towards $10 AUD I think folks were starting to understand, however the China slowdown, which created poor sentiment in our industry, was very untimely and put a dampener on things....this will be temporary.
If you're a shareholder, when the company reports a profit, you are making money. This is being reinvested into the company's growth initiatives (Phase 2, Kami, cold pellets, etc.), which I see as a better investment (avoids dilution, loans at high interest rates etc.) than paying a dividend. This may not suit the short term investors, but defintely those staying in this for the long run.
There may be some more downside in the short term, but those who hang in there will definitely be rewarded.
All the best,
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