With the strong divy approaching an absurb 7%, I just keep adding to my position on every 5% drop in price. BP isnt going anywhere, and the recent disaster in the gulf is priced in and then some. Backing up the truck for more today if it drops, Im holding long term for my childrens college.
You are a idiot.. usually when companies go through such a extremity, the first thing they do is either cut the divend or definitely lower it.. so your 7% can look like 2%
people always think the dividend will stay the same after a company will be spending billions...
think about buy this in the low 30's
Not true, in most cases the divident doesn't change. BP might issue more debt to handle the cash needs of the cleanup, but it is extremely doubtful they will suspend the dividend.
Also to those claiming the top hat is late. You need to read the statements issued by the DOE and the DOI, who are now indicating a comfort level with the containment plan being proposed. They will more than likely have this contained (the leak) within a week.
You mention the most important aspect of the current stock price: the yield on the divvy.
If BP stock price were a rock climber, then the divvy is the rope holding him in the air as hangs over the precipice...