Dividend Question?

bat1 · Jul 21, 2010

Let me explain this and see if I'm right

If you buy 1 share of XYZ for $30 dollars with a 3% dividend

or 1 share of XXX for $10 dollars with a 3 % dividend

Now I'm thinking I will buy 3 shares of XXX at $10
that will give me now a 9 % dividend which is a
better deal then 1 share of XYZ at $30 right?

as I own 3 times more of a 3% stock

My wife says no to her 3% is 3% no matter how many shares
you own

I'm saying no way! I own 3x more shares
more shares means more dividends...

KINGOFSHORTS · Jul 21, 2010

Your wife is pretty sharp.

TheGoonior · Jul 21, 2010

Quote from bat1:

Let me explain this and see if I'm right

If you buy 1 share of XYZ for $30 dollars with a 3% dividend

or 1 share of XXX for $10 dollars with a 3 % dividend

Now I'm thinking I will buy 3 shares of XXX at $10
that will give me now a 9 % dividend which is a
better deal then 1 share of XYZ at $30 right?

as I own 3 times more of a 3% stock

My wife says no to her 3% is 3% no matter how many shares
you own

I'm saying no way! I own 3x more shares
more shares means more dividends...

Do the math if you are not convinced:
3% of $30 = $0.90 x 1 share = $0.90.
3% of $10 = $0.30 x 3 shares = $0.90

You get the same dividend either way.

salvador90 · Jul 21, 2010

Quote from bat1:

Let me explain this and see if I'm right

If you buy 1 share of XYZ for $30 dollars with a 3% dividend

or 1 share of XXX for $10 dollars with a 3 % dividend

Now I'm thinking I will buy 3 shares of XXX at $10
that will give me now a 9 % dividend which is a
better deal then 1 share of XYZ at $30 right?

as I own 3 times more of a 3% stock

My wife says no to her 3% is 3% no matter how many shares
you own

I'm saying no way! I own 3x more shares
more shares means more dividends...

Your better handle the shares stuff to your wife and you be at the kitchen instead...

squirly309 · Jul 21, 2010

Quote from KINGOFSHORTS:

Your wife is pretty sharp.

+1

stock777 · Jul 22, 2010

give your wife all your money to handle and have her remove any sharp utensils from the house.

MTE · Jul 22, 2010

Quote from KINGOFSHORTS:

Your wife is pretty sharp.

+1

marine · Jul 22, 2010

Can you post a picture of your wife?

ptrjon · Jul 22, 2010

Quote from marine:

Can you post a picture of your wife?

+1

Kassz007 · Jul 22, 2010

Quote from bat1:

Let me explain this and see if I'm right

If you buy 1 share of XYZ for $30 dollars with a 3% dividend

or 1 share of XXX for $10 dollars with a 3 % dividend

Now I'm thinking I will buy 3 shares of XXX at $10
that will give me now a 9 % dividend which is a
better deal then 1 share of XYZ at $30 right?

as I own 3 times more of a 3% stock

My wife says no to her 3% is 3% no matter how many shares
you own

I'm saying no way! I own 3x more shares
more shares means more dividends...

Yikes.