Fri, Oct 31, 2014, 1:23 PM EDT - U.S. Markets close in 2 hrs 37 mins


% | $
Quotes you view appear here for quick access.

Goldcorp Inc. Message Board

  • gold_fodder_2005 gold_fodder_2005 Dec 29, 2005 2:56 PM Flag

    Are we gettin a surprise dividend

    announcement come Tues or Weds of next week? GG declares on the 1st or 2nd workday. Are their dividends going to be larger monthly payments in 06? Could be. Maybe that is running this puppy up. This is the most wonderful metals stock I own.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • and hopefully that's now the end of the dividend debate. good trading in '06

    • Well I will drop the speculation on the dividend. I will say that there is something abrew as huge volume and the after hours numbers are more than noteworthy. Best to all holders of this gem, for it is truly a beauty.

    • Exactly. Comapanies on acquisition binges do not issue huge dividends especially before they burn up all their cash and use several credit lines for a announced asset purchase.

    • Earnings are earnings and multiples SHOULD be the same whether the company profits from copper, gold or apples.

      Gold multiples are higher is because the underlying asset is UNDERVALUED.

      Otherwise why would investors pay 5x for gold stocks. POG has upside, copper not as much upside.

      Copper companies are making a killing in profits at current prices, not many make a profit mining gold exclusively and does any company make a profit mining silver???

    • Hey, that's more than GG pays ... !!!

      Lol ...

      The problem with a dividend from a gold company is that the very high stock price multiple, or PE, just dilutes the heck out of it ...

      Consider a gold company that makes $0.80 per share and a copper company that makes the same $0.80 per share, both making exactly the same per share ...

      The gold company will be awarded a stock price multiple of **40** and trade at $32.00 ... the copper company will be awarded a stock price multiple of **8** and trade at $6.40 ...

      Both companies are equally profitable, but look at the difference in the share price ... and now look at what happens if they each declare 25% of net earnings as a dividend ... that is the gold shareholder will receive a $0.20 dividend and the copper shareholder will receive a $0.20 dividend ...

      For $32, you can buy **1 share** of the gold company or you can buy **5 shares** of the copper company ...

      If you buy the gold share, you will receive $0.20 on your $32 investment, or a 0.625% return ... if you buy the copper shares, you will receive $1.00 on that same $32 investment, or a 3.125% return ...

      Goldcorp already distributes **25%** of its net earnings in the dividend and that is way too much for a company in growth mode ... and as noted above, at the current stock price even if GG distributed **100%** of net earnings as a dividend, yes ***100% ... !!!***, it would amount to a return on investment to shareholders of just 3% ... !!!

      For GG to pay out 25% of earnings just so that a shareholder can get a 0.8% return on his investment is a folly of the greatest magnitude ...


    • No need to worry with Telfer at the helm, GG won't increase the dividend over the near term.

    • Telfer spending money, rather what's left of, on connecting a HGZ (as it appears they may in fact be connected) between their RedLake mine and the Campbell would be much more accretive to shareholders than a bump in the dividend. Agreed, they may do bump a dividend later, but very very few people will buy a gold co for a dividend. If its dividends they're seeking, plenty of better alternatives. Talk/hope of Telfer bumping the dividend is IMO misguided. I would much rather Telfer and co. spend the funds on developing/expanding their reserves. Just my 2 1/2 cents worth.

    • From The Lasko Report by Enrico Orlandini

      "Whenever things get volatile, I like to stop, take a breath, and look at these charts because they tend to separate fact from fiction. Please note that the price target is now $712.00 assuming that we don't see a reversal! Admittedly that's a big assumption, but if gold succeeds in rallying +/- $200.00/ounce, that's a 39% increase with respect to today's close. If the relationship holds, then Goldcorp should rally another 180% from today's close at 20.86. That puts us somewhere in the $60.00 area. That, folks, is real leverage. And that's something you won't get from the average junior. In closing, I also suspect that when Goldcorp does hit the $60.00 area, and it will, their cash dividend will be in excess of 12% per year. Maybe even as high as 20%."

    • In a word.......No.

    • invest3 Dec 29, 2005 3:08 PM Flag

      lets not get ahead of ourselves here.

      on a percentage basis mid tier gold companies share prices have not kept pace with the actual price of gold.

      many bullish calls (such as the announcement of china yesterday to increase gold reseves 4x) seems to have brought home the fact that the gold rally could be for real-- share price just catching up to underlying commodity.

    • View More Messages
18.82+0.21(+1.13%)1:23 PMEDT

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.