This is a typical response to: "what have you done for me lately".
If you've held SCCO for over one year what have your dividends been over the last four quarters?
Hmmm ....... that works out to better than 11% at today's price. What did you think would happen to the SCCO dividend after they had to declare a $2.75 dividend four quarters ago?
Sure, I too would like the dividends to stay at a higher level and I'd also like the stock price to he higher. But, ask yourself why has GRUPO decided that lowering the dividend after the $2.75 windfall was the way to go? Might it be that GRUPO decided that investing their "potential" dividend dollars back into SCCO was the best investment they could make at this time?
Me thinks that these guys are in it for the longer-term and you've got to decide if this is a good long-term investment for you. It all boils down to ...... do you trust GRUPO/SCCO management and their long-term business plan and/or do you want them to pay you now or pay you (hopefully more) later.
That's why, I'm still betting on GRUPO/SCCO management ..... they've got a lot more at stake than I do and they know a heck-of-a-lot more about their business and the copper market than I do. Plus, I don't need the money and I frankly don't know a better place to put the bucks if I cashed out.
I'm a little fuzzy on my history, but I think that Henry Ford made out pretty well after he took control of his company (for at least 20 to 25 years).
If you're correct, what does this tell you about GRUPO's confidence in SCCO and, more importantly, how might this impact private shareholders that decide to hold their shares of SCCO?
I could care less if GRUPO/SCCO continues to buy-back shares ...... it might be a good thing if institutional investor positions were eventually minimized since they, more than anyone else, drive share price based primarily on speculation rather than true market circumstance.
Face it, we private investors have had NOTHING to say about how GRUPO/SCCO runs their business ..... we're just along for the ride.