"The company did not announce EARNINGS of $39.0 million ! It announced SIM's 1997 REVENUE of $39.0 million.(See 2/24/98 P>R>)"
Correction noted. You are correct, and I *meant* revenue. Sorry.
"Regarding the dividend of ESVS, have you ever seen a stock drop in half, post-dividend. "
Yes. Every one that gives a 1-1 stock dividend.
In fact, even stocks that give out cash dividends generally drop. It's not as noticible, as it's a smaller value being handed-out. That is, it can get lost in the noise of trading. But, *in theory*, at least, when a company gives-out a $1 dividend, the stock should drop by $1m because the company has just given $1/share to the shareholders, and so the company has reduced it's cash by $1/share and should be worth that much less. Of course, valuation is more complicated that that.
I really would wait till Monday if I were you before you make such statements with such confidence. Do I get an apology if you are wrong? (And you are.) |
