RE:RE:RE:RE:RE:RE:RE:RE:Reopened a position at 2.81 You are being unecessarily negative. The business model does work and has been working for years. The royalty model has been around for years and provides a steady stream of income for many dividend seekers. It is simply just very hard to put a value to in terms of share price.
Obviously, any dividend stock drops in value when interest rates are higher. You can't compete with a GIC paying 6% with little to no risk.
However, given we are now at the top of the interest rate hiking cycle, and we are now at the top, I would argue that DIV is undervalued here given the 8.5% dividend. We are going to see cuts here to interest rates in 2024 as Canada moves into a recession based on lower consumer spending. As those cuts materialize, the share price of DIV will move up in concert.
For those seeking income in a soon to be lower interest rate environment, this is a great buy here. DIV will move toward what I condsider to be fairly valued at around $3.50-$3.75. A nice capital gain with a great dividend component.