Last Dividend of the Year to be Distributed Tomorrow
The last dividend of the year from a Tunis Stock Exchange-listed company will be distributed tomorrow, September 26, 2024. New Body Line will distribute 0.300 TND per share, representing a net yield of 5.43% based on the current stock price. This is a respectable return, and the company may hope to see its annual yield turn positive.
This year, 47 companies have rewarded their shareholders, and the distributed amounts have significantly contributed to the improvement of collective savings. The amounts would have been much higher if the Central Bank had not slowed down banks and forced them to respect strict limits.
The real question is whether companies, in general, should have kept liquidity in these difficult times and reduced their recourse to debt. With the observed interest rates, these amounts would have significantly alleviated financial charges. A distribution of free shares is also a form of dividend. However, in Tunisia, given the lack of depth in the order books for the vast majority of stocks, it is difficult to convert these free shares into cash.
Beyond these considerations, an investor in a listed company is only a temporary shareholder. Few investors take a medium- and long-term approach, although it is the best investment strategy. If the stock gains 20% for one reason or another, they immediately liquidate their positions. This type of actor creates dynamics on a financial market, but they should not become the majority. A more liquid market would benefit all stakeholders, and this is the axis on which the emphasis should be placed.
