Revised Dividend Yield for SBS Transit
Followers of my Dividend Stock Tracker would have notice by today of a sudden change in Dividend Yield for SBS Transit.
I feel i need to always explain these revised yields so that viewers do not get mislead by extremely good yields.
At current price near 2 dollars the yield i used to put was near 15%. With its stable business, you might think it is a bargain buy.
Hold on there. I have put in the latest 2008 dividend payout which is 6.25 cents. This is a big difference compared to the 30 cts i used to calculate the 15% yield.
As such the current yield turn out to be a miserly 3%.
Hope you guys aren’t affected by the lowered payout. In times like these, you would expect much of this lower revision of yields, but i would try to input as realistic as i can the projected future yields that can be expected.
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