Comment by rustybladeson Nov 12, 2025 5:32pm
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Post# 36784450
RE:Punishing Price Decline
RE:Punishing Price DeclineI think what we are seeing is tax loss selling on amassive scale. Every unit holder was in a loss position when the share price cratered under 14.50 after the quarterly release. I suspect, but don't know, that all mutual funds holding the stock have sold their positions to 1) harvest the capital loss and 2) to not show a negative position for their year end report.
If my thinking is correct we will trade at these low levels for another three weeks. Some of the tax loss sellers will return to buy after the 30 day rule rolls over. Until then (beginning of December) there is a dearth of buyers.
As for the dividend, I believe the share price might actually respond positively to the cut. They are not getting rewarded for the high yield so use the cash from the cut to pay down debt.