weekly GURU bargains- with SPLS being 90%+ owned by institutions- SPLS has attracted - even recently considerable investment capital from some very astute investors.
At this point many things could benefit the stock- an outright purchase by a Buffet (see "Is Staples a Buffet stock" or an LBO - the coming consolidation in the industry (merge od and om), increased cost savings......back to school- its not an 'exciting' stock - but it does offer great value with a divi - (like you said) - that, alone- pays more than bank cds.....
You're totally right. Staples has the history and money to back up their dividend. I'm not worried and in fact am going long the stock tomorrow. I actually just made a blog post about with chart analysis in case anyone's interested.
You are right. Their balance sheet is very strong and SPLS is returning ~32% of their EPS to shareholders in dividends. In addition, EPS in 2011 will be ~10% higher than in 2010. Their dividend isn't going anywhere - if it does change it should go up to reflect the increase in EPS.