How to potentially Profit from the BHP results using a time tested strategy - Andrew Baxter
Last night, executives had the enviable task of announcing BHP results for the full year – a whopping $8.3bn loss. Not a small amount and the ramifications on this are just the beginning of an investor nightmare when it comes to BHP results. The loss is one thing, and rest assured as I type, the stock is, yep, you guessed it, up almost 2.2%. However, the longer term impact and positioning of the stock is now under even greater scrutiny, than simply BHP results of minus $8.3bn for the year! Over recent years, BHP Management introduced a progressive dividend model, quite at odds with what would typically be expected of a mining company. Traditionally, earnings have been poured into asset development and future growth, rather than a reward to shareholders in the form of an enhanced dividend. Back in 2015 for example, the dividend yield on the stock was more than 7%, higher than 10% if you took into account the franking credit – great for retirees loo...