RE:RE:RE:Good Bad & Ugly
JayBanks wrote:
maplak wrote: I have sold 2/3 of my holding during the financing and switched to AD.UN which I hold in TFSA. DIV reported earnings after they raised the money. Did they use some of it to cooked the earnings? They said the loss widened and pay ratio is 90% . Also not sure about the burritos since scaddabush ( SRV. UN)
is struggling a little bit. Also own. I think DIV is a dog so AD.UN and share price in both is going anywhere.
AD.UN payout is 65-70%. Usually share price in companies with higher dividends does not appreciate much that is why I am buying some
" eagles " as well like lately Citigroup to preserve the capital. I have seen a lot of companies paying dividends over 10-15 years but at the end the value of stock dropped 50-100 % So what's the point owning dividend stocks then? Good thing is that we are at the beginning of cycle when interest rates starts going down. The anals will be biching about overpriced market but investors won't have a choice but keep buying in. Why? Because there is only one pile of money and since real estate and land is overpriced everybody will be feeding equity goose. Plus a lot of money will be moving from GIC's to stocks as well . You people don't have an idea how much money are companies contributing into pension funds for their employees retirement. Zillions. So don't worry the equity " goose "
wil be well fed in upcoming years.
So your alittle (by that I mean ALOT) all over the place...
The cash raise was done after the reporting period that we seen, so it had no effect on those reported numbers. It was done to reduce the amount of interest we pay and to be prepared to strike off anouther deal happens...
Really all that raise did was dilute shareholders a very mild amount (I'm not overly excited about that) and it dilutes the upcoming per share metrics a minimal amount, the royalty raises coming should still counteract that move.
The shares still have 10-15% upside to what I'd say is fair value, and I myself will not be adding, but it's not a poor holding either...
Thanks for your detailed explanation but to me it is sort of meaningless. The highlight of DIV is widening loss, higher pay out ratio plus majority of their businesses are consumer oriented. Interest rates is high insolvencies up plus a lot of people refinancing mortgages. On the other hand AD.UN investments are more industrial plus a lot of it in states. I am not trying to bash DIV since I still own it I am just betting on Alaris to be safer and do better but the time will show. Remember I own about 20 different companies so those two are just a fraction of my portfolio. Remember both companies are just a dogs not much growth only good dividends. I am also looking for an " eagles" to grow my portfolio for example EIF up 42 % , KEY up 66 % , SRV .UN up 50 % SPG up 66% . The latest addition C up 22 % , PPL up 15% DBM up 17% . To balance out SIA down 12 % , got a big hit on CHR lost 35 % .Also FCD . UN down 20- 30 % over 3 accounts plus lost money on RWT which I bought back recently because CPP boys invested in it $ 750 000 . Just trying to preserve my capital while collecting dividends. Overall good news is the value of my investments is up without dividends. I am not willing to subsidize my gains with dividends. I am cashing in all my dividends and spending all of it. That's is all and believe me it is not easy. Luckily I am retired so I have time to play with it.
https://markets.businessinsider.com/news/stocks/redwood-trust-announces-750-mln-capital-partnership-with-cpp-investments-1033176185