Re:Intel Cuts Employee Pay to Maintain Quarterly Dividend
by readthenotes1 on Wednesday February 01, 2023 @02:00AM
(#34607381)
5% would be insane if inflation weren't 7%. However, cutting salaries to keep the dividend whole is insane.
Investors already know this is deception and the market will value the company accordingly.
Intel should face the music and pay the price. Suspend the dividend entirely. (AMD last paid a dividend back in 1995!)
Growth stocks shouldn't be dividend stocks. That signals they have nowhere else to deploy the capital and are returning profits to investors. A buyback would be a better way to return cash to investors.
Intel's 5%+ dividend is insane anyway. That percentage yield on a non-REIT, non-PTP, non-cyclical (energy, etc.) business is very unhealthy and points to how anemic the stock is.