08-02-2024, 08:33 PM
(This post was last modified: 08-02-2024, 08:44 PM by dreamybear.)
In the recent earnings call, an interesting question was asked regarding the initiatives around returning value to shareholders.
Essentially, a combination of SBB + dividends => 10 year treasury bond yield with the bonus of potential upside for a good business. How does it compare to stocks like PingAn with a higher dividend yield and also potential upside ?
------------
https://seekingalpha.com/article/4668248...transcript
"...Math number two is 3% accretion a year plus a dividend of $1 per ADS. The dividend yield is about 1.4% and so combined with the buyback, accretion and the dividend yield, you're looking at about 4.4%, 4.5% which is actually quite close to the 10-year treasury yield. So if you buy Alibaba stock, it's like you bought a 10-year treasury bond with the upside of stock price appreciation...."
Essentially, a combination of SBB + dividends => 10 year treasury bond yield with the bonus of potential upside for a good business. How does it compare to stocks like PingAn with a higher dividend yield and also potential upside ?
------------
https://seekingalpha.com/article/4668248...transcript
"...Math number two is 3% accretion a year plus a dividend of $1 per ADS. The dividend yield is about 1.4% and so combined with the buyback, accretion and the dividend yield, you're looking at about 4.4%, 4.5% which is actually quite close to the 10-year treasury yield. So if you buy Alibaba stock, it's like you bought a 10-year treasury bond with the upside of stock price appreciation...."