DaveLewis
2022-02-03

$Amazon.com(AMZN)$ It would surprise everyone if AMZN issues a special dividend of $5, raises prime subscription, issues share repurchase after issuing a stock split of 30:1. Would it not. Let us think about this, really. It would only cost them about 2.7B for special dividend (which would be partially offset by rate increase of prime), split would bolster support from smaller retail investors looking to get in but thought stock too expensive; and, repurchase would boost EPS / stock price after split. For a company with free cash flow over 10B, this is a drop in the bucket and smart move. Thoughts?

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Comments

  • H7rng
    2022-02-03
    H7rng
    $10b for a $2T is peanut. They will need that cash to run day to day operation.…
  • BigBeef
    2022-02-03
    BigBeef
    They won’t because retail investors are not their main concern.
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