CWI.UN:TSX - comments
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Yuck. There is a reason this thing hit a 52-week low today. According to globeinvestor.com the payout ratio is an absurd 327%... can you say dividend cut. Debt/equity is staggering and interest coverage is periously low. Despite all that the P/E is still high at about 20. Get out your barge pole. That said if you have a strong will it may be a bargain.. as some numbers are, well not as horrid as those above.
Disclaimer: Check actual numbers... don't rely on sites like GI...
Disclaimer: Check actual numbers... don't rely on sites like GI...
Joined
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240 Posts
Yep , what he said.
Also what are there plans for 2011 when they must convert to a corporation , what are the tax implications as well as dividend cuts , they will most likely be down to about 10% or less , still not terrible for a TFSA.
The dividend may be safe for this year so it may be a good choice for your TFSA , you can always add another $5000 worth of something else next year.
From a technical view it is well below both its 200 and 50 day moving averages showing signs of a continued decline , not a good time to buy as it may go much lower.
Personally I think this company will do OK when the economy picks up , it is probably a bargain at these prices but it may go lower yet and the conversion date is getting closer all the time.
I find it strange that a company pays out a 10 cent distribution on a $6 unit and still only pays out 10 cents when the unit price is $16 , it's good for the shareholders temporarily but is it sustainable.
Also what are there plans for 2011 when they must convert to a corporation , what are the tax implications as well as dividend cuts , they will most likely be down to about 10% or less , still not terrible for a TFSA.
The dividend may be safe for this year so it may be a good choice for your TFSA , you can always add another $5000 worth of something else next year.
From a technical view it is well below both its 200 and 50 day moving averages showing signs of a continued decline , not a good time to buy as it may go much lower.
Personally I think this company will do OK when the economy picks up , it is probably a bargain at these prices but it may go lower yet and the conversion date is getting closer all the time.
I find it strange that a company pays out a 10 cent distribution on a $6 unit and still only pays out 10 cents when the unit price is $16 , it's good for the shareholders temporarily but is it sustainable.
1 - 5 of 5 Posts
