The second dividend distribution date on the Helsinki Stock Exchange has become autumn, when many companies distribute their profits to their owners for the second time a year in addition to spring. The Market Council is considering this week whether it is worth rushing to stock trades now in the hope of dividends.
“The autumn of dividends is such a new phenomenon that I have not even thought of this as dividing here,” says the investor and the author. Karo Hämäläinen.
Hämäläinen says that, in principle, companies that distribute dividends more than once a year exceed the average of the Helsinki Stock Exchange with their dividend yield, ie they distribute dividends generously.
In addition to long-term investments, one can try to benefit from temporary effects from the dividend fall, says the director Samu Lang | About Aktia.
“You can think wisely here that now that everyone is talking about a dividend rush and that there will be an all-time dividend fall, many investors are now buying stocks in the market, making their price perhaps too high. It could be bought a little in advance and sold a little before the dividend comes out, ”he says.
According to financial theory and usually also practice, the value of a share decreases by the amount of the dividend on the day of delisting. However, exceptions have been seen, which may indicate that not all investors may be on the map on how the share price should react to dividends.
Stock Exchange Foundation managing director Sari Lounasmeri is not enthusiastic about short-term game movements around the dividend period, but calls for dividend yield monitoring in the longer term.
“I think it’s a bit of speculation to look for such quick moves,” he says.
A huge dividend is expected from Sampo
In the market council, the financial group will become the hottest dividend company in the autumn Sampo, which is expected to sell its remaining holdings Nordeasta in the near future.
“Everyone expects a dividend to come from there. We would have been quite disappointed if there had been zero, ”says Karo Hämäläinen about Sampo.
Hämäläinen still sees other opportunities at Sampo to use the funds he has received from Nordea sales. Sampo could consider buying more Danes Topdanmarkinsurer or the British Hastingsia, in which Sampo invested at the end of last year.
Lang is also optimistic about Sampo’s dividend.
“I think there’s quite a lot of dividends to be promised from there. Sampo has a strong culture of rewarding its owners in the form of extra cash flows, meaning there will be big dividends in the autumn and probably next year as well. Over the next three years, there will be talk of big sums, ”Lang notes.
You can also return to the dividend rate soon Nokia, which has suffered from difficult times in its business in recent years and has therefore missed a profit distribution. Recently, however, the direction seems to have changed for the new CEO Pekka Lundmarkin under.
“I feel like under Lundmark, Nokia has built a calm story, and I’d guess the board and shareholders don’t want to make flimsy moves back and forth. We certainly want to make sure that the base is stable, but I would expect that we would now start the path of dividend distribution again when the result is made, ”says Lounasmeri.
Source: Arvopaperi by www.arvopaperi.fi.
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