I don't see this as a religious issue, and I feel if all the shares except mine are bought at a lower price I win.
Sentiment: Strong Buy
There is an 11 to 4 split that is being done. I don't know if this is going to stay solvent or not I think that is all it would need to do though
I am getting hit across the riet sector so I believe it is the etf's that are selling. Management is incentivised to raise the dividend to get the performance bonuses. I am a heavy buyer and don't believe that a dividend cut would effect the price that much but I suspect it will be raised instead because of escalators and bonuses
Sentiment: Strong Buy
I don't see any reason why they would stop the dividend unless it was in the agreement.. I bought some for arbitrage reasons.
I don't know if I trust management or not... but I do think psec is way undervalued, and like you own a substantial number of shares. I am not sure how you can be for or against something that hasn't been announced yet but I do understand the value of having as much cash as possible
ran out of cash eh.... could try picking some up in the future with an option (plus at a lower price than the strike).
trading around $15 so I looked at $14 march and was given $1.... I am buying at $13 then in march but am buying at over $16 twice be four that. If you don't reduce the dividend I don't believe it, I have taken a nice beating though by any means. The dividend is coming up so I am looking forward to that.
I am doing nrf also the people that are spinning off a lot of European real estate (now yielding close to 10%)
I have always been a glutton for punishment, I believe it has to go up but that is just me, I haven't finished my research on this thing yet but I suspect the grammy people are seeing the reduced price of their shares and maybe they won't vote for it. I have csg as 2% of my portfolio and by keeping smaller sizes I can go overweight on bad news if I wish and not be effected as much when the dividend goes down.
Having a margined position where the daily price action can cause you trouble (like margin calls) anyway so it's best to find a way out of that problem if you have it, sell calls on some of it or something.
I don't see the benefit of worrying about what the price is in the short term. "In the short term the market is like a voting machine in the long term the market is like a weighing machine". I would just take their interest money and take advantage of the lower price.
I am not going to assume you mean share price instead of yield since it almosts yields 10% right now.. Looks like I am going to buying a large chunk of shares soon. Looks like a falling knife right now but I need to invest some for the income and hopefully I am not to overweight anything.
I have held this stock for 1 1/2 and this is the lower part of the range, I am sure this could be tuff for some people I sold O once because I didn't want to loose the income not sure that was the best thing to do but I did.. If you are looking for something undervalued to bring the yield back up you could sell some and buy psec or nrf. I suspect if you feel the income loss real bad then the position size is to big or your in a situation where you need more to invest (don't we all?).
If that is with the puts then that is a great play.
You have a lot of moving parts, you have the possibility of more leverage in the companies that are spun off, you also have loans that are getting repaid and then the cash gets reloaded.. I believe the loans are mostly 7 year loans so they could be at both higher and lower rates. I don't know if their real estate is going to be more profitable over time but riets have been tending to raise their dividends.. during the medium term the loans are pretty much fixed but are not at a rate forever.
I would expect the price to go up Monday as my guess.. not an unusual move for a stock.
You subtract 8 cents from that because of the dividend so that is 12 cents and most likely you are going up on Monday, that is the norm for ex-div on a lot of companies... $7.50 starts to look like an attractive price again and $7.20 is something I may not be able to ignore..
If debt is spun off then you can buy shares back at the discounted level without paying back debt... I bought some options at the 8 (not a lot of options but enough to supercharge my return because they were so cheap) bdc's have falling rates and that means there is to much capital so buying back shares is one way to deal with that industry wide.