SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Dell Technologies Inc.
DELL 119.61-0.7%3:53 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Naggrachi who wrote (61315)8/27/1998 3:10:00 AM
From: PAL  Read Replies (1) of 176387
 
Shareholders are better off than receiving cash dividend. Dell is paying stock dividend, while that does not change the percentage of ownership, it does show that management is confident about the future of the company. You can already see that the stock split has done well for stock. Additionally, Dell uses 70% of its cash flow for stock repurchase, hence earnings per share and your percentage of company ownership are higher. The beauty those "dividend" are nontaxable as opposed to double taxation of cash dividend (i.e. cash dividend is distributed after tax by the company. When it is received by shareholders, it is taxed again on 1040.

Hope that helps

Paul
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext