The dividend cut from $1.12+ to $ .40 gives AT, who has 120,000,000 shares outstanding about
$50,000,00 to $90,000,000 extra cash for investing. This and the fact that AT can be bought
should get the stock above $8 in short time.
Unfortunately, I own 11,000 shares of Atlantic Power and I believe your being overly optimistic about it's prospects. There is no extra cash. Managemnt cut the dividend by 65% because it is no longer sustainable. They also provided guidence that indicated a 65% to 75% payout ratio in 2013 and 75% to 85% payout ratio in 2014. That announced to the investment world that they expect their cash flow to decrease even further in 2014 which could force them to reduced the dividend even further.