Home > Boards > Free Zone > Penny Trading - Technical > Money 101 (Money)

is going nowhere even with a .20 divy

Public Reply | Private Reply | Keep | Last ReadPost New MsgReplies (6) | Next 10 | Previous | Next
DownWithPumpers Member Profile
Followed By 78
Posts 5,957
Boards Moderated 1
Alias Born 10/17/06
160x600 placeholder
IBM Reports Higher 4Q Profit, Revenue
International Business Machines Corp. reported higher profit and a 6.5% revenue increase in the latest period,
Subscribers: JPMorgan Chase, Wells Fargo and Comerica Earnings Already Reported 4Q Earnings
2-Year Treasury Yield Falls to 0.950% -- Data Talk
10-Year Treasury Yield Falls to 1.735% -- Data Talk
30-Year Treasury Yield Rises to 2.083% -- Data Talk
Wheat Higher Amid Russia-Ukraine Tensions - Daily Grain Highlights
Unilever Up Over 8%, on Pace for Largest Percent Increase Since March 2020 -- Data Talk
Top Company News of the Day
Polymet Mining Up 5% on Appeals Court Ruling on Water Discharge Permit
Front Month Nymex Natural Gas Rose 0.70% to Settle at $4.0270 -- Data Talk
Front Month Nymex RBOB Gasoline Fell 1.82% to Settle at $2.3980 -- Data Talk
GDP Seen +5.5% in 4Q -- Data Week Ahead Update
Nvidia Down Over 9%, on Track for Longest Losing Streak Since June 2019 -- Data Talk
STOXX Europe 50 Index Ends 3.59% Lower at 3646.08 -- Data Talk
EURO STOXX 50 Index Ends 4.14% Lower at 4054.36 -- Data Talk
STOXX Europe 600 Index Ends 3.81% Lower at 456.36 -- Data Talk
FTSE 100 Index Ends 2.63% Lower at 7297.15 -- Data Talk
DAX Ends 3.80% Lower at 15011.13 -- Data Talk
CAC 40 Index Ends 3.97% Lower at 6787.79 -- Data Talk
Toronto Stocks Continue Decline; Enerflex Falls on $1.5 Billion Merger with Exterran
Airbnb Down Over 11%, on Pace for Record Percent Decrease -- Data Talk
FTSE 100 Finishes in the Red as Investors Await Fed Meeting
BlackRock on Pace for Largest Percent Decrease In Over a Year -- Data Talk
DownWithPumpers   Friday, 12/15/06 03:26:04 PM
Re: skitters post# 203
Post # of 3649 
is going nowhere even with a .20 divy

This isn't a board for discussing specific stocks. But let me address two financial gimmicks that I see constantly these days. Here are a couple guidelines (not rules!):

1. Paying Dividends
These are essentially an admission by the company that it has no good use for the money.
Reasons companies don't pay dividends
Management and the board may believe that the money is best re-invested into the company: research and development, capital investment, expansion, etc. Proponents suggest that a management eager to return profits to shareholders may have run out of good ideas for the future of the company.

2. Buying Assets
Buying an asset doesn't create wealth. Typically the seller of the asset is doing it to make a profit because he believes that the asset is expensive enough to warrant a sale so that he can invest the money elsewhere.

Both of these gimmicks warrant skepticism but are not necessarily out-right red flags. The reason both of these are gimmicks is that both are just financial schemes rather than anything to do with running an actual business.

Public Reply | Private Reply | Keep | Last ReadPost New MsgReplies (6) | Next 10 | Previous | Next
Follow Board Follow Board Keyboard Shortcuts Report TOS Violation
Current Price
Detailed Quote - Discussion Board
Intraday Chart
+/- to Watchlist
Consent Preferences