Seed - I will give you credit for making a wild prediction. Now for anyone calling you out for your prediction, but they have none... to H ell with them.
Seeds - Promises are meant to be broken. I took some of my money somewhere else for now as I'm not into playing flipping coin or rolling the dice.
Seed - "Water always find its own level". RSO management been pouring in water on a leaky tub for the last two quarters. When they are done, we will see the correct level.
A. Keep the divvy between $.60-.64 and let PPS rise to say $13-14 = to 1.8-1.9 million shares buy back with their $25 Mill available.
B. Drop the divvy between $.45-50 and let PPS fall to say $9-10 = to 2.5-2.8 million shares buy back from their $25 Mill available.
Seed - How are you playing your cards? I left 1/3 of my holdings based on calculated risk vs. reward. If they cut the divvy, I still have minimal skin in the game and ready to buy more on the drop. If they keep the divy, I still have minimal skin in the game that I can be happy with.
Pip - $.40, $.42, $.44 will not make a difference from $.64. It is still a major cut and it will destroy the SP.
Destroying SP now and hoping to increase dividend in the future may take a longer time to recover compare to stabilizing the SP from the get go.
Seed - Most of posters here will destroy me, but here is my argument
Trimming the share counts by 5-6% on the buy back and cutting the dividend by 30% to $.40 will destroy the SP to $10 and possibly lower.
Keeping the same share counts, use the buy back funds to keep the dividend at same level for the next 2 qtr. will buy them time to stabilize the earnings and the SP at above $12 or maybe above $13.
My analogy is: Trimming 5-6% of the tree leafs and removing 30% of the roots will destroy tree.
Seed - I sold majority of my holding at a lucky price of $13.15 today taking just a mere 20% gain. RSO gets addictive sometimes as they have never miss paying dividends even in darker days.