Look at NRF. They're paying a 28% dividend and are buying back shares. ?????? And the price keeps sinking. Wha the f*** is that. I own it and can't figure out what they can say or do that would make people buy it. I'm still convinced that this is massive liquidation by hedge funds. They are just getting margin called out the wazoo. Every day the market opens down a few more get hit. Like a black hole. You think you can ride out the storm sittting out on the edge and then the vortex just starts to sweep your way. It's getting closer and closer...you think it will pass you by...but NOOOOOOO!!!! It sucks you in too. These money management guys ain't so smart afterall, huh.
I don't own BT but was looking to buy back when it was yielding 10% (round $30)...and that was less than a month ago. I bought Qwest instead...and it hasn't fared any better. My understanding is that BT is just an annuity. Not much growth, but very good cash flow and when I started watching it the consensus was that they could cover the divvy without trouble. That was S&P's opinion for what it's worth. Now, however, the market is saying that a 17-19% dividend is unlikely. Frankly, I have no idea. I have some closed end income funds that have gone from 7-9% payouts to 20%+. If I don't sell and I drip the dividends I can pick up some really cheap shares....but for me, right now, I don't see a bottom for BT and I'll probably just keep watching it.