03-01-2012, 07:21 PM
Lux Interior wrote:
[quote=IronMac]
No, it means that the assumed forthcoming dividend is too low. Dividend paying companies dole out as a percentage of their share price probably around 2% and up. Some companies such as Windstream go as high as 8%.
There is no lower limit on dividends, other than zero, which is what AAPL pays now. Your argument seems to be that they have to pay a dividend of at least X% if they are going to pay a dividend.
They can pay $0.01/share if they want.
No, my argument is that for that low a dividend it's not worth the paperwork to do it. They might as well do a special dividend or go for share buybacks.