Amfil Technologies Inc (FUNN)

[recinvestor]

Consider this...a combo of a small dividend AND a share buyback to possibly fuel a "massive" move.

If there's a sizable short position, and a dividend is announced with ex divy date, the shorts wouldn't want to pay those dividends out of their pockets, and would thus cover as soon as possible.

Combine that with the company buying back shares and there is extra competition to grab shares on the open market between shareholders, shorts, AND the company.

In theory, this could create a squeeze of some sort, which in essence rewards any current shareholders by way of share price appreciation.

Of course the ratio of a dividend payout and number of a share buy back would need to make financial sense. And only the company knows the current status of any surplus in funds right now and if this is even feasible.

This scenario could work brilliantly...but I'm more for the company using any surplus in funds towards further expansion and seeing slow and steady growth.

Sometimes speculating is fun and I just wanted to add a thought.

Go AMFE
Rec