Perhaps I should have mentioned the time-frame and reason for buying. I.E. Longer term, 3 years and more, mostly for dividends, capital gains of secondary importance. As I mentioned above, in the short term, I expext it to fall to around 14000
I sometimes struggle with the obsession about dividends, but this maybe that i do not understand the benefits. Reason as follows: Share A: dividend shares: e.g. price increase of 10%/a and dividends of say 3% p.a.; total increase = 13% Share B: capital gain shares: e.g. price increase = 30% p.a. and dividends = 0.5% p.a.; total increase = 30.5% Clearly Share B is the better option or am i missing something (e.g. tax benefits)? Would like to get your views
The process of trading for capital gain only, is thought to be more risky than long term investing in Quality dividend paying stocks. I do trade short term for capital gain too, currently long CPI,DSY,HYP,MDC,RES and ALMI. Perhaps I did not make my point clear: Vodacom has broken out upwards from a multi-year sideways consolidation, which is very bullish. Potential gain 100% in the next three years = 33% per year + dividends.
labat africa share price to increase dramatically in 2015 the Company has been short-listed as a preferred bidder in relation to a potential acquisition of one of the other logistic opportunities. Shareholders are advised that, as a preferred bidder, the Company has signed a non-binding non-exclusive term sheet, with a certain party (?the Seller?) in terms of which Labat will acquire the Seller?s business assets and operations (?the Sale Assets?) (?Proposed Transaction?). In terms of the Proposed Transaction, Labat will acquire the Sale Assets for a purchase consideration of R627.5 million (six hundred and twenty seven million and five hundred thousand Rand) to be settled in cash.