6 Comments
Feb 19Liked by Andre Nader

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Feb 19Liked by Andre Nader

I agree with all that and am not a card carrying member of DOD. My sense is that their position comes from a belief that CEOs are bad at recognizing or admitting when they've reached that point where just giving money back to the shareholders is the best use of cash.

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Great post. It's interesting that providing dividends is presumably the reason stock is worth anything at all, else how does one get a return? Selling it, of course, but without the expectation of some future dividends, why would anyone buy it (other than to sell it to some greater fool)?

So, maybe there is a sweet spot in terms of dividend frequency? And the Dividends or Die cult just wants them far more frequently than is tax-optimal?

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