Stock price has suffered by the hand of investors

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Post financial crisis period or post oil/commodities bust period that began couple of years ago, many Blue Chip companies, including many banks and oil and mining companies that were once considered the staple of dividend distribution, announced dramatic cutbacks in dividends. As expected, the markets punished these stocks severely and many of these companies that have not returned to their former dividend policies (with some recent rise in dividend levels for U.S. bank) operate with depressed stock prices.

QUESTION:

Do you agree these companies have made the right move considering the punishment their stock price has suffered by the hand of investors?

Reference no: EM131864079

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