Dividends help but they are not the answer. XIN has a top accounting firm and will probably pay a dividend this year that amounts to 20%-plus. It has helped the stock a little but has not prevented a severe retreat in the last few days. Sustained growth is more important than the dividend, though SIAF could not and should not move away from its dividend commitment, which, by the way, I much appreciate. If the stock is going to trade for 1-2x earnings, let it be from the highest level possible.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.