What are you talking about. LOL.
They paid 2x $0.80 or $1.60 (roughly $4M) in 2012/2013 and the stock rallied from $12 to $28 even though earnings came down to the same levels we have now.
Trust me, if they pay $750k every quarter, or $0.25/share, then the stock will rally to $6+. And if they pay it for the first quarter alone, people will anticipate much the same.
That said, it's not very likely at this stage. We'll probably have to wait a few months at least, or maybe they will do $0.10 to start with.
Your stock repurchase plan requires a reservation of some $5M. Even if it's only $2M, they still need the cash now. That's one. Two, they need a trading plan because without it they can't repurchase stock during quiet periods. So you better hope they get it right. Three, what if the volume suddenly drops off?
So, a dividend will give you a guaranteed 100% or 200% gain. Instantly. Why would anyone even bother about repurchasing stock if that's the case?
And 4th, the plan should be to reward the shareholders, not force them to sell it back to the company.
It's a special situation. A pure dividend play.
