ADN 6.25% 1.7¢ andromeda metals limited

For an emerging growth company, best use of cash is to fund...

  1. 11,249 Posts.
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    For an emerging growth company, best use of cash is to fund growth at say 50% to 70% of earnings retained. Remainder paid as dividends.

    Then as growth of NPAT progressively yields fruit then just consistently grow dividends.

    In case of SOL dividend growth compounded at 9.6% pa. Imagine if ADN achieved the same or better?! They have a diversified high-margin strategy to pull it off.

    Other examples below are BKW and ARB.
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    Last edited by wombat777: 01/01/21
 
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