3 ms·
There are institutions, e.g. pension funds, that only invest in equities that provide a dividend. By offering a dividend, Apple is making its stock more widely
by ANH 15y ago
There are institutions, e.g. pension funds, that only invest in equities that provide a dividend. By offering a dividend, Apple is making its stock more widely available => more buyers => more shareholder value.
- unreal37 15y agoI laughed when I saw this in the press release. Anyone conservative enough not to buy a stock unless it provides a decent dividend would not buy Apple. Apple is not a value stock.
- wisty 15y agoWow, a downvote brigade for calling Apple a growth stock? There must be lots of MS fanboys here, or Apple fanboys who don't know that the opposite of "value stock" is "growth stock". With a P/E of 16.87, AAPL a growth stock. Or overvalued. With a P/E of 11.71, MSFT is value not growth. With a P/E of 135.1, AMZN is ... pricy.