FFH Dividend

[StubbleJumper]

If history is any guide, FFH will announce its annual dividend on Tuesday.  How much are people thinking?  I'm saying $10 for the second consecutive year.

 

 

SJ

[Zorrofan]

I would have to agree, it has been another good year from FFH

 

;D

 

cheers

Zorro

[Ballinvarosig Investors]

2010 was a great year, I think they'll bump it up. $12 for me.

[ourkid8]

I agree, I think Prem will keep the dividend at $10 for the second consecutive year.  I wish he would eliminate it totally but I understand the justification behind it...

 

Thanks,

 

S

 

If history is any guide, FFH will announce its annual dividend on Tuesday.  How much are people thinking?  I'm saying $10 for the second consecutive year.

 

 

SJ

[beerbaron]

I wish they would keep the dividend low and not do private offerings at 355$ again!

 

If the shares were below 100$ a stock dividend would also make sense. It would much more tax efficient. At 400$ I believe there would be too much partial shares created.

 

They will have nice opportunities in Asia and they should keep their cash for it.

 

BeerBaron

 

 

[StubbleJumper]

Hmmm....  FFH is up about $7 on the day that they will likely announce their dividend. 

 

Anyone still believe in efficient markets?

 

 

SJ

[NormR]

Anyone still believe in efficient markets?

 

Shhh, next you'll be spilling the beans on Santa  :D

[Partner24]

I don't know, I would guess 10$, but that guess...is a guess! I would not bet anything on it.

 

By the way, we've been having this dividend vs. stock buyback vs. keeping the cash discussion for years. The dividend wins.

 

Cheers!

 

 

[Fairfaxnut]

At an average of 26% return on their book over the years, I'd rather have them do a buyback around it's current price.  Although Prem has already stated as to why they have a dividend policy in the 2001-2002 shareholder letters.

[Uccmal]

By the way, we've been having this dividend vs. stock buyback vs. keeping the cash discussion for years. The dividend wins.

 

Partner, I have set up a macro to regurgitate this everytime someone starts up the debate again... ::)

[Alekbaylee]

$10 again this year. Sweet...

 

http://finance.yahoo.com/news/Fairfax-Declares-Annual-iw-558682088.html?x=0&.v=1

[NormR]

$10 again this year. Sweet...

 

Darn, they should have raised it - even by a cent - just to stay on the radar of dividend growth investors.  Oh well.

[StubbleJumper]

The wisdom of crowds prevails.  The dividend fell into the range most frequently selected by voters ($10-$12).  Now I just need to decide what to do with the money in three weeks....

 

 

SJ

[Parsad]

The wisdom of crowds prevails.  The dividend fell into the range most frequently selected by voters ($10-$12).  Now I just need to decide what to do with the money in three weeks....

 

I think Prem looked at the voting and said..."Well, 29% voted for $5-$9.99 and 48.8% voted for $10-$11.99...Let's just split it up the middle and let the 48% have it...Ok John, we're gonna make it 10 bucks even!"  You think that's how it works up there?  ;D  Cheers!

[roundball100]

$10 again this year. Sweet...

 

Darn, they should have raised it - even by a cent - just to stay on the radar of dividend growth investors.  Oh well.

That's probably why they left if at exactly $10 ... to avoid attracting new investors.  Who wants more investors?  New investors make it harder for the older investors to accumulate additional shares at good prices. 

[Fairfaxnut]

By the way, we've been having this dividend vs. stock buyback vs. keeping the cash discussion for years. The dividend wins.

 

Partner, I have set up a macro to regurgitate this everytime someone starts up the debate again... ::)

 

I apologize in advance this starts up a heated debate... ;)

[NormR]

That's probably why they left if at exactly $10 ... to avoid attracting new investors.  Who wants more investors?  New investors make it harder for the older investors to accumulate additional shares at good prices. 

 

Instead one accumulates from other old investors?  :-\

[gurjot]

should be no dividend , especially in a year when you raise 200 million at 355 a share and give that much out as dividend . why dillute earnings?

[Uccmal]

should be no dividend , especially in a year when you raise 200 million at 355 a share and give that much out as dividend . why dillute earnings?

 

By the way, we've been having this dividend vs. stock buyback vs. keeping the cash discussion for years. The dividend wins.

[gurjot]

have no problem with dividends in general.  but dont like in a year when you are issuing common and preferred to raise money.

thanks

[Partner24]

have no problem with dividends in general.  but dont like in a year when you are issuing common and preferred to raise money.

thanks

 

Agree, but that's the Fairfax way and we can debate about that with 45 posts if you want to, it will not change anything.