For Canadians the yield in C$ is 3.67% today. Couple that with favourable Canadian dividend tax treatment and after tax it's like a 6% bond. When the capital spending is done, POT will have the cash flow to sustain a 5% dividend at today's price. The question is will they chose to do it.
I concur. The current payout ratio is about 48% of this year's estimated EPS. Assuming halfway decent earnings growth coupled with the anticipated drop in CAPEX, I wonder whether POT even needs to wait until all the CAPEX is done. At the very least, the yield increases can be applied gradually but eventually get to a 5% or greater yield at today's price. And that share price, no doubt, won't stay where it is.