DuPont has been the target of several activist investors led by Trian Fund Management. The culmination of Trian’s efforts has been to force DuPont into solely focusing on faster-growing specialty chemicals businesses while shedding some of the commodity/basic chemicals assets it owns. The spinoff of these assets — now known as Chemours (CC) — will officially start trading as a detached firm on July 1, but so far, CC’s “when issued” shares have been a real dog.
DuPont (through Chemours’ management) has agreed to pay an initial quarterly dividend of $100 million in September. That works out to be 55 cents per share, or $2.19 annually — which would give CC stock an initial yield of more than 14%! CC stock is going to be a volatile train wreck for a few quarters until it can get its act together as TiO2 pricing remains weak. However, for longer termed investors, that could provide a buying opportunity for one of the strongest players in the sector. Chemours deserves to be on your watch list, just don’t pull the trigger yet.
Source: InvestorPlace
Related Articles:
- 5 Dividend Stocks To Beat The Wall Street Giants
- A Disciplined Approach To Dividend Growth Stocks
- 5 Low Beta, Higher Yielding Dividend Stocks For The Next Downturn
- 7 High-Yield REITs With Growing Dividends
- 26 Income Securities For A Well-Rounded Asset Allocation
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
There are some dividend aristocrats which have not only maintained but increased their dividends for over half a century. Having survived ev...
-
Showing resilience during a tough week was a group of stocks that has not been heard from much in the past two years. A group that has been ...
-
High dividend yields are harder to find lately, given the long-running stock market rally. But that scarcity doesn't mean investors have...
-
One little-known tax loophole allows Americans to collect large, growing distribution checks from the government. And investors can begin ea...
-
The U.S. boosted tariffs on $200 billion worth of Chinese goods from 10% to 25%. The markets had expected this to be the week that this deal...
-
Every investor needs a security blanket -- that piece of the portfolio that needs no attention and doesn't keep you up at night. Busines...
-
The one knock against this midstream company is its higher risk profile compared with its peers. It has been working to address that issue b...
-
Technology is the alchemy of the stock market. It is where companies turn worthless silicon into incredible new and expensive gizmos and dev...
-
Utility stocks were supposed to be yesterday’s favorite investment. The theory regarding utility stocks was simple: Robust economic growth c...
-
The yield is 8.36%, with strong 1.39X coverage. Revenue grew 16%, EBITDA rose 22%, DCF grew 25%, and net income rose 19% in Q1 '19. Mana...
0 comments
Post a Comment
Post a Comment