Tourmaline Oil Corp (Alberta) T.TOU

Delusional!

[rico91]

It would appear that I was under the delusional assumption that stock prices were made by investors who bought and sold shares in companies. It appears however that a closing price on a stock can be changed by a stock exchange if it so chooses.
Am I correct that TOU closed at 68.61 on Friday Jan 20? That is what I saw on Friday evening! So who bought and sold TOU at exactly $2 less before the opening today?
If I am to get a $2 dividend on February 1, but my shares were reduced by $2 today ( without a trade taking place) , then I didn't get anything at all !!
Am I supposed to be happy with that?
If TOU was TRADED down by whatever trades took place then so be it, but that does NOT appear to be what happened!

JMHO
Rico

[realcdn]

You must be new here. This is standard practice and nothing to get your panties in knot over.  Today is ex-dividend date. The company booked a $2/share liability on its balance sheet immediately after closing on Friday. The exchanges adjust the closing price accordingly. In a vacuum, if nothing else affected the the market value of the stock, it is going to be worth exactly $2 less per

[rico91]

So you are saying that the Exchanges decided that TOU was perfectly priced  prior to ex divy day and therefore They decided to cut the share price by $2 themselves? I thought that investors decided either correctly or incorrectly what the share price should be? Why bother to give a dividend if the SP will be cut by the same amount! I am no further ahead and actually down $2 a share until I

[realcdn]

It's called the "adjusted closing price". Look it up and do a little research to educate yourself. Dividends are pretty 101 stuff but it amazes me how many people don't understand them or their affect on share value.  Where do you think dividends come from? It's cash that's leaving the company and going to the shareholders. You think that's not going to

[rico91]

I can't believe that you actually believe what you are saying! First, I am fully aware of what " adjusted closing price " is and means. Why does the exchange think that they should adjust anything to do with the SP of a company? I thought that was the job of investors! If a company drills a couple of dry wells or has bad hedges, does the exchange rush in and arbitrarily " adjust

[realcdn]

You sound like some novice investor that thought they could make a quick buck buying on Friday and selling today for the same price, while still getting to collect your dividend. Sorry bud, it doesn't work like that.  This isn't something new, yet you seem to think you know better than the system. Good luck that! LOL

[GunnerG]

rico, the exchanges try to keep investors aware of things that affect the stock price, not everything, but some things.  They make adjustments to closing prices for dividends, stock splits and .....given those are factual  events, the exchanges adjust.  Exchanges also adjust your price downward for a limit orders and I believe on some of the options information as well. Adjusting

[rico91]

Actually I am quite aware. I totally agree with adjustments for splits and should not have used the word " anything ". If investors bid up a company before ex-dividend day., do you not think that they are smart enough to make their own adjustments on or after ex- dividend day? Rico

[Mirko22]

I have done the same with TOU 3 time . I wll always buy 30K using margin account. On the last special div, my average cost was 65.20 . Once the stock hit 71. I sold all shares. It is more tax efficent for me. GLTA 

[rico91]

Also interesting to note that here on Stockhouse it shows that TIU was down $2.38 today but on brokerage accounts only down .38. Interesting!

[rico91]

Sorry, I meant TOU!

[fishcarrier]

I have noticed that a lot of people love their dividends. So, when a dividend is due, people bid up the stock. Last Friday TOU went up and up to close finally at $68.61. Today you could expect it to drop all of $2 if not $3 or $4. Then the stock slowly on climbs up again. Sometimes it pays to sell the stock high - like at $68.61 and expect to buy it back at least $2 cheaper - maybe quite a bit

[GunnerG]

$68.61 on Friday.  At the end of the day you now have an account receivable (sorry for the accounting term) from TOU of $2.00 AKA a special dividend. $2. + 66.61 = $68.61   You have the same investment value on Monday that you had on Friday and yes the closing price is adjusted to reflect that fact. Why would buyers of stock give you $68.61 on Monday if everything else remains the

[rico91]

Agree Gunner, My point is, why not let the market decide what the stock is then worth instead of it being dictated by the exchange? Is this not supposed to be an open ,non manipulated capitalist system? Rico