I came across the fact recently that Rogers Communications was raising their dividends to $1 a share yesterday. This is interesting because I own some Rogers shares from back in 2000 when I worked there. At the time, the shares I got were Rogers Wireless shares and the share certificate has been stuffed into a file folder ever since.
When I decided to get out of debt, I tried to find out how much they worth, in order to pay off some debt with them. I couldn't find a record of RWI as a stock. A little more research turned up the fact that the parent company had bought out each RWI share for 1.75 RCI shares. This meant that my 12 shares where now 21 shares.
Next, I wondered how much I might expect in the past 7 years of dividends. So I turned to google. I found some info about something else besides dividends. According to one site, there have been 2 stock splits of RCI stock. A 3:2 split in2004 and a 2:1 split in 2007. Now my google-fu isn't as good as some and I have not been able to confirm the 2004 split.
If both are valid I should have something like 63 shares. If only the 2007 happened, I will have 42 shares. Either way they are worth more that I expected.
As far as past dividends go, they were only paying out 10 cents a year back in the early 2000's so I'm not holding my breath.
Thursday, January 10, 2008
Rogers Stocks
Subscribe to:
Post Comments (Atom)
2 comments:
You say "If both are valid I should have something like 63 shares. If only the 2007 happened, I will have 42 shares. Either way they are worth more that I expected."
Normally, with stock splits, there is a price adjustment, so that while you have more stocks, they are worth about the same ( in total ) the real pay off comes when you sell, after they've gone up in price!
As for dividends, they have always kind of annoyed me, being piss ant little amounts
Hi Elizabeth! Thanks for the comments.
Yeah, but on the other hand the $600 or whatever I paid for the original 12 stocks is now being divided by 42 or 63 meaning that I paid much less for each stock.
Sure dividend stocks pay out anywhere from 2 to 6 % depending on the stock. But at 5% a hundred dollar stock pays out $ 5 every year. A large number of the better dividend stocks have increased their dividend every year for 20 years or more. Plus, the value of the stock also goes up.
Because income from dividends is treated much better than regular income, you pay substantially in taxes, so you don't have to earn as much to have the same lifestyle.
Plus if you reinvest the dividends into buying more stocks you see real growth as well.
I'm pretty inarticulate. I think I should go to bed. :-)
Post a Comment