MS gives dividends for the first time ($870M), stock split, Xbox surprise performer

[Drake Tungsten]

So why not argue that MS is jumping the gun and therefore screwing their shareholders by declaring the dividend before the legislation gets passed?

Because I don't think that. MS stockholders deserve a realistic dividend, whether or not it is tax free.

[Asher]

Originally posted by Drake Tungsten
What are they doing with all the money in their war chest, Asher? It's just sitting there, doing nothing for the stockholders. You need a certain amount of cash to do business, but Microsoft's war chest has reached ridiculous levels. It isn't greedy for stockholders to want that money, as it is theirs.

And it isn't greedy for MS to keep the money, as the board who decides that is ELECTED by the stockholders.

You seem to think it's some kind of dictatorship?

MS has its reasons for stockpiling the money. Hell, Nintendo does the same thing. It's the secret to long term survival.

Things won't always be nice and peacy in the world. The bigger your warchest the longer you can survive and the more you can do.

Just admit you were wrong about this dividend being "a good deal" and I'll leave. That's your only way out, as there is no way you can prove this was anything other than a token move on Microsoft's part to deflect criticism from stockholders.

The dividend is a good deal, Drake, deal with that.

1) MS investors never expected dividends in the first place
2) MS investors got dividends

This is not a good deal, how? Because you think they should have given MORE? That would have been a BETTER deal, but it's still a good deal to get 16 cents a share.

Get over it.

[Drake Tungsten]

MS has its reasons for stockpiling the money. Hell, Nintendo does the same thing. It's the secret to long term survival.

And MS is to the point where it can't possibly spend all the money in its war chest. It should start giving a decent portion of its profits to its investors as dividends. And $870 million is not a decent portion...

1) MS investors never expected dividends in the first place

This is obviously false, as I've already given you evidence of stockholders demanding dividends.

but it's still a good deal to get 16 cents a share.

No it's not. It's a little better than what they were doing before, but it's nowhere near what they should be doing. It was just a token move and I'm not going to praise them for it.

[Asher]

Originally posted by Drake Tungsten
This is obviously false, as I've already given you evidence of stockholders demanding dividends.

How does that make it false?
Do you understand what "expect" means?

Obviously not all MS stockholders think the same way. Some will want huge dividends, some won't. People choose what they want via their votes, and that's why it just doesn't make sense for you to argue on behalf of the investor that MS is screwing them or something, because they have a say in stuff like this. You don't.

The big outside investors with 2.5M shares will most likely demand huge dividends. The reason is obvious. This does NOT in ANY WAY say they expected them, which is what you just concluded...

No it's not.

Oh my GOD.

You should be thankful you don't have the money to invest, I think you'd lose it all pretty quick.

Again, I'm going to repeat this one last time for you: MS is not a dictatorship. Investors with voting shares can vote, they elect the board, the board chooses what to do with respect to dividends.

If the investors collectively wanted more dividends, they'd vote in a board that'd do that for them. They consistently voted for a board that didn't give out dividends, and that board is giving out dividends now but one's that are not too large. The real reason for this was discussed by JohnT and Oerdin above.

It's just absurd for you to continue whining that this isn't a "good deal" on the basis that they can afford to do more. You either don't understand the concept behind how shareholders interact with their company, or you willfully ignore how it works just so you can troll about MS more.

Shareholders aren't just along for the ride, they choose the board which chooses dividends.

Quit whining.

[Drake Tungsten]

You should be thankful you don't have the money to invest, I think you'd lose it all pretty quick.

A least I can figure a dividend yield...

[Asher]

Originally posted by Drake Tungsten
A least I can figure a dividend yield...

Oh, shut up.
It was a brainfart after a long day.

The fact that you put it in your sig and brought it up just now speaks volumes about how well this debate went for you though.

(and before you say it, the quote in my sig is in there not as a personal slam to you, but because it's funny as hell )

[Drake Tungsten]

I thought your 3% figure was pretty funny as well. For a brainfart, you sure did say it with some authority, even though it was obviously bull****. If MS gave out a 3% dividend, I wouldn't have any problem with them...

The fact that you put it in your sig and brought it up just now speaks volumes about how well this debate went for you though.

I'm the only one who has some evidence supporting his view, so I don't think this debate has gone that badly for me. I'd love it if you found someone who said this dividend is anything but a token move...

[KrazyHorse]

WTF is drake on about? If MS has that much cash on hand then it will be reflected in their share price. Any they give away will proportionately lower its share price. Dividends are just a way of providing a middle ground so that people get some money right away.

[JohnT]

Originally posted by Frogger
WTF is drake on about? If MS has that much cash on hand then it will be reflected in their share price. Any they give away will proportionately lower its share price. Dividends are just a way of providing a middle ground so that people get some money right away.

You know, this point was so obvious that I forgot it entirely.

Though I did allude to it in my "transfer of assets" post. But still...

[KrazyHorse]

? Are those directed at me? Because I didn't bother reading many of the responses; just drake's outbursts...

[KrazyHorse]

****, if he really wants a 5% dividend he can sell 5% of his MS stock...

[Drake Tungsten]

Question for JohnT : How much of an effect will having more money in the warchest have on Microsoft's stock price? I know it will have some effect, but it seems like it is getting to the point where it won't do much to add more cash. The money is just sitting around, doing nothing.

[Asher]

Originally posted by Drake Tungsten
I'm the only one who has some evidence supporting his view, so I don't think this debate has gone that badly for me.

Drake...finding a quote from an investor who wants a new Porsche and immediate satisfaction from a dividend payment does not constitute "evidence".

Again, the board which decides dividends is elected by the shareholders. Obviously some are in the minority and disagree (Joe, you showed being interviewed) and they will reflect that when they vote for the board next.

You're trying your damnedest to make it seem like MS is some ruthless tyrant who hoardes money on its own for no reason at all, regardless of the poor, pathetic investor's wishes.

[Drake Tungsten]

Drake...finding a quote from an investor who wants a new Porsche and immediate satisfaction from a dividend payment does not constitute "evidence".

Read the whole article, jackass. There are several investors who call this a token move and hope for a larger dividend in the future. I hope they get it.

[Asher]

Originally posted by Drake Tungsten
Read the whole article, jackass. There are several investors who call this a token move and hope for a larger dividend in the future. I hope they get it.

Oh, that changes everything, SEVERAL investors.

Interviewed by AOL-TimeWarner, of all people.