Intelligence

To Dividend or Not to Dividend?

An investment contributor to U.S. News & World Report, is working on a story about why some businesses choose not to offer dividends and what that means to investors. Please send responses to this query *via email* by noon EDT Friday, May 18. Be sure to put DIVIDEND DILEMMA in the subject line so I don’t miss your reply. Indicate the name of the source as it should appear in print, title and where they are based. Any thoughts you can gather along these lines would be ideal: 1) What are some good examples of companies not offering dividends, and what might be their reasons for declining to do so? 2) Are investors ever shortchanged when a company decides not to issue dividend? Why or why not? 3) In the case of Apple, the company decided to offer a dividend after years of refusing do so. What explains a decision like this, with specifically with Apple—and in general for companies that switch gears and offer dividends? 4) To what extent should the awarding of a dividend guide an investors decision to buy stock in a certain company? 5) Anything else to add? You may also include numbers, stats and other illuminating insights. To all my friends PR, thanks for your help this year and have a great Summer 2018.