Scrooged?

http://www.marketwatch.com/story/ge-board-of-directors-authorizes-regular-quarterly-dividend-2015-12-11

Looks like GE is truly sticking to its plan. That is either good or bad in my opinion.

1. It is good because Jeff Immelt is following the plan he put forth in April/May 2015, and he is sticking to his word.

2. It is bad because the dividend that has been growing for the past almost 6 years has now stalled. No decrease, but growth has been halted. Jeff is being true to his word on this one.

I guess I was hoping that BOD would see fit to spread a little wealth if things were truly going better than planned. However, I can’t help but wonder if things could change given the current economic climate. Maybe the BOD is making sure that no issues arise that cannot be handled while the company transforms itself.

Well, Jeff is being true to his word. What would truly show confidence would be those continued inside buys and execution on the plan going forward. Since my dividends are going to be staying put for the next few quarters, I do expect to hear about all the facets of the turnaround and how they should positively impact the stock price. After all, if the dividends are not growing, I am certainly looking to see Capital Appreciation (CA).

I truly want both dividend growth and CA. I will accept stagnant dividend as long as I see CA. However, I am not going to be excited by stagnation of the dividend, as well as,  no CA.

Any thoughts?

Keep cranking,

Robert the DividendDreamer
AKA — Seeking Dividends

Follow me on Twitter– Seeking Dividends@DividendDreamer

Seeking Dividends
AKA — DividendDreamer

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About dividenddreamer

Doing what I can to make the best of today and the most of tomorrow.
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2 Responses to Scrooged?

  1. I’m interested to see what management has in store for 2016 and if there is something else that’s going to happening that requires a ton of capital. They have to be doing something with the extra capital, or else they would initiate larger buybacks or increase their dividend. I guess you have to trust their plan though, right? Immelt has done an impressive job turning the massive ship that is GE and getting it moving in the right direction. Better to have straight talk from management and watch them follow through versus a management team that is over promising and under delivering.

    Thanks for bringing this lack of an increase to our attention. Big news for GE investors.

    Bert, One of the Dividend Diplomats

    • You are right about sticking to the plan. It sure would be nice to wake up in 2018-20 and see the stock price sitting at all time highs and collecting a bigger dividend than ever before.

      Keep cranking,

      Robert the DividendDreamer
      AKA — Seeking Dividends

      Follow me on Twitter– Seeking Dividends@DividendDreamer

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