how good is telstra, page-2

There seem to be quite a lot of sellers at $2.90.

IMO, in addition to FF still unloading, these are the people who got in at or bellow $2.60 during the recent, all times low price and are happy to realize 10 plus capital gain rather then taking cash dividend.

After all, capital gains can be offset against losses on other stocks and profits on CG have preferential tax treatment.

Dividends even with the imputation, are classed as pure income and so it may pay some investors, to take their CG profits now and possibly get back on board after the stock goes ex dividend.

Buying interest is also strong and IMO these buyers are mainly self managed super funds. The funds in pension stage do not pay any tax on profits and it does not matter if the tax is in form of capital gain or income. TLS dividend plus imputation credit is a just about best return SMSF can get on stocks in ASX200 and consensus seem to be that decline in SP is unlikely, on the contrary SP is likely to get better or dare I say much better.

I personally just regret that I did not get to Telstra sooner, with SP at around $2.60,when I was telling all my colleagues that TLS is a bargain.
Apart from the fact that I sometimes do not listen to my own advice, was waiting for another stock in my portfolio to go ex dividend with me on the books for the payout.

It was not a good strategy, that stock dropped more then the divi and stayed low. But these are the chances one takes, you loose some and you win some. As long as the wins outweigh the losses we are still in the game ready for the next race to start.

With Telstra, I think my SMSF has backed a hot favorite. And the odds are getting shorter which mans there is a lot of punters who agree with me.