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Re: Dbrown13 post# 85346

Thursday, 08/30/2018 1:53:44 PM

Thursday, August 30, 2018 1:53:44 PM

Post# of 128613
you are absolutely right, but to say that somehow it will effect your share of dividends is letting psychology run amok in my opinion. Stock split might effect market capitalization and I must admit that is important, especially for a corporation that is in need of further financing.

But for a mature, dividend paying corporation a stock split would be even more meaningless because there is by definition no reason to raise more money, decreasing the importance of market capitalization.

Stock split doesn't effect revenues, expenses, taxes - it doesn't trickle down to earnings in anyway, it wouldn't effect the percentage of earnings a corporation would want to set aside for investing or share buy backs or dividend payouts...

I just can't see an argument for how a stock split is going to get your more dividends, except to say that if the market capitalization improves because of the stock split they will be able to finance future growth at better terms which should eventually trickle down to earnings and a dividend payout might be better or faster for it.

i am done, wtf am i doing?

Buying low, selling high is a tough way to make free money, this is easier.