Re:Boeing push to make training profitable may have left 737...
by perl4ever on Saturday December 21, 2019 @10:34PM
(#21855004)
I'm not saying stock investors take a long view in some absolute sense, I'm just saying they obviously inherently take a longer view than any other stakeholder.
A bond holder doesn't get paid their interest payment, it's a crisis. The government doesn't get the taxes due, it's a crisis. An employee doesn't get their paycheck, it's a crisis. Dividends are an "if we feel like it" thing. Many, many companies simply say "we have never paid any dividends and we may never pay any at all".
Stockholders by definition can only rely on the nebulous entire future of a company for stock value - either it will be sold some day for $X, or the dividends will total $X. That's a longer term perspective than anyone else has.
A bond holder doesn't get paid their interest payment, it's a crisis. The government doesn't get the taxes due, it's a crisis. An employee doesn't get their paycheck, it's a crisis. Dividends are an "if we feel like it" thing. Many, many companies simply say "we have never paid any dividends and we may never pay any at all".
Stockholders by definition can only rely on the nebulous entire future of a company for stock value - either it will be sold some day for $X, or the dividends will total $X. That's a longer term perspective than anyone else has.