Hi mate.
I understand what you are saying. But don't agree on everything.
I agree the management influence is fantastic. It is why the company is so well run. I am also a big fan of lyl they have a history of cash generation which proves they are a business throwing off cash. And I agree they have paid dividends.
However they have 50m to 100m cash sitting in their bank accounts. So they have not paid out everything in dividends not even by a long way. This cash shoes the company is conservatively run so it is a good thing.
This cash is profits and has had tax paid on it at the company tax rate which is much lower than the top personal tax rate.
For a company like BHP it makes sense to pay dividends because a lot of their ownership is super funds paying 15 percent tax. For a company where the owners is mostly individuals it does not make sense because the personal tax rate is higher than the company tax rate. So the logic behind a company paying dividends is driven by the tax system. That is why American companies pay less dividends that Australian companies because their tax system is different.
I agree the chairman is only paid a small fee but if you look at the dividends he receives it would out him in the top tax bracket. And the executive directors do receive high salaries plus dividends.
I doubt that Lyco will be paying out a huge special dividend even though it has more cash on its balance sheet than it needs. Personally I would like to see them do a buyback at this low share price.
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Last
$12.15 |
Change
-0.100(0.82%) |
Mkt cap ! $482.8M |
Open | High | Low | Value | Volume |
$12.22 | $12.25 | $11.99 | $1.242M | 102.5K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
3 | 1071 | $12.15 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$12.19 | 1184 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 831 | 12.150 |
1 | 828 | 12.100 |
1 | 827 | 12.080 |
1 | 2000 | 12.030 |
1 | 417 | 11.990 |
Price($) | Vol. | No. |
---|---|---|
12.190 | 1184 | 1 |
12.500 | 940 | 1 |
12.880 | 500 | 1 |
12.980 | 400 | 1 |
13.000 | 80 | 1 |
Last trade - 16.10pm 23/08/2024 (20 minute delay) ? |
LYL (ASX) Chart |
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STRATEGIC ENERGY RESOURCES LIMITED
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