Replies to post #66562 on Medinah Minerals (MDMN)

[Beth0515]

ok, understand....at what SP would one personally have to get in order to turn a profit from the dividend share ?? appreciate the DD...

No offense, but you're not getting it just yet.
Upon payment of the stock dividend, NOTHING has changed. Everyone's ownership and investment is EXACTLY what is was before. You have a proportionally higher number of share worth exactly a proportionally amount LESS. Zero Sum Game (or gain, depending how you like to look at it).

NOW, do you understand why your question doesn't make sense?

This is investing 101 by the way, definitely not DD. But that's cool, that term gets bandied about quite a lot in these parts...

[superdow]

well in my example, assuming that you paid $1 for each share to begin with, you would need to sell each share you own for more than its revised 90 cent value as determined immediately after the dividend was issued in order to make a profit. The day of the dividend the value of each share on the open market should drop to 90 cents (though the market being somewhat inefficient this may not exactly happen)so you could actually make a little money or lose a little money based on the day after open market valuation if you sold on that day.