JPM cut dividend to practically zero, ABOUT TIME. Investors remember what a dividend is for it basically says we have NO use for this cashflow we see no capex on the horizon we dont see the need to pay down debt so here have a dividend, it is crazy to think companies on the one hand need to raise capital either debt or equity at expensive measures and on the other pay a non cost efficient distribution of hard earned cash. If you need a dividend sell stock each quarter dont buy companies for a dividend. So JPM about time, your now the first bank to go on the LONG list although to go long now is still to early. The other banks still have the same problem, on the left side of the balance sheet they have nothing right and on the right side they have nothing left, well maybe JPM has something so I am watching you but I aint buying you.
Giddy Up
Monday, February 23, 2009
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