The above are all valid points.
In addition, it is also important to study absolute dividend paid out per yr. Any share no increase or decrease might affect this. So looking at thr actual sum paid gives a more accurate picture.
Personally i am a believer of repeatibility n trends. Bonus n/or special dividends suggests management generosity n its impossible to.predict when future specials will come, i just treat specials/bonus as special/bonus. More impt issue is to discern past dividend trend n decide whether this can be repeated.
A further point if i could add is to plan(where possible n feasible) dividend cashflow at various times of the year.
1) reinvesting can take place at various times
2) in times of crisis, this multiple cash flowing in can serve to buying more shares n also serves to alleviate n treat one's psychological fear during those fearful times, that hey, no need to bail.out as i am actually receiving money regularly even during crisis. To me the latter point is impt, as bailing out often means realising of losses into real losses n who can time when is the real trough when real crisis hits?
My 2 cents
In addition, it is also important to study absolute dividend paid out per yr. Any share no increase or decrease might affect this. So looking at thr actual sum paid gives a more accurate picture.
Personally i am a believer of repeatibility n trends. Bonus n/or special dividends suggests management generosity n its impossible to.predict when future specials will come, i just treat specials/bonus as special/bonus. More impt issue is to discern past dividend trend n decide whether this can be repeated.
A further point if i could add is to plan(where possible n feasible) dividend cashflow at various times of the year.
1) reinvesting can take place at various times
2) in times of crisis, this multiple cash flowing in can serve to buying more shares n also serves to alleviate n treat one's psychological fear during those fearful times, that hey, no need to bail.out as i am actually receiving money regularly even during crisis. To me the latter point is impt, as bailing out often means realising of losses into real losses n who can time when is the real trough when real crisis hits?
My 2 cents