{"id":6141,"date":"2022-10-19T20:43:07","date_gmt":"2022-10-19T20:43:07","guid":{"rendered":"http:\/\/sparta-gestion.com\/?page_id=6141"},"modified":"2023-10-19T08:58:38","modified_gmt":"2023-10-19T08:58:38","slug":"dividendes-et-fcf","status":"publish","type":"page","link":"https:\/\/stabiho.com\/en\/dividendes-et-fcf","title":{"rendered":"Dividends and FCF"},"content":{"rendered":"<div class=\"vc_row wpb_row vc_row-fluid qodef-section vc_custom_1666123854692 qodef-content-aligment-left qodef-grid-section\" style=\"\"><div class=\"clearfix qodef-section-inner\"><div class=\"qodef-section-inner-margin clearfix\"><div class=\"wpb_column vc_column_container vc_col-sm-12\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\">\n\t<div class=\"wpb_text_column wpb_content_element\" >\n\t\t<div class=\"wpb_wrapper\">\n\t\t\t<h3>The importance of free cash flow is obvious and results in the structural strength of the balance sheet.<\/h3>\n\n\t\t<\/div>\n\t<\/div>\n<div class=\"vc_empty_space\"   style=\"height: 50px\"><span class=\"vc_empty_space_inner\"><\/span><\/div>\n\t<div class=\"wpb_text_column wpb_content_element\" >\n\t\t<div class=\"wpb_wrapper\">\n\t\t\t<p>Excess cash flow also provides the opportunity to enhance shareholder returns through dividends and share buybacks.<\/p>\n\n\t\t<\/div>\n\t<\/div>\n\n\t<div class=\"wpb_text_column wpb_content_element\" >\n\t\t<div class=\"wpb_wrapper\">\n\t\t\t<p>Dividends are precious because they help overcome periods of weaker earnings growth. Receiving a regular payment from the invested company creates a link \u2013 affectio societatis - between the shareholder and his company. Rather than spending them, it is better to put the dividends back to work and their reinvestment is a primary condition for successful compounding. Furthermore, history shows that dividends are responsible for about half of the total long-term return of 6% to 7% per year generated by the market. The importance of dividends increases as earnings growth slows.<\/p>\n\n\t\t<\/div>\n\t<\/div>\n<div class=\"vc_empty_space\"   style=\"height: 25px\"><span class=\"vc_empty_space_inner\"><\/span><\/div><div class=\"qodef-separator-holder clearfix  qodef-separator-center qodef-separator-full-width\">\n\t<div class=\"qodef-separator\" style=\"border-color: #e7e7e7;border-style: solid;border-width: 1px\"><\/div>\n<\/div>\n<div class=\"vc_empty_space\"   style=\"height: 25px\"><span class=\"vc_empty_space_inner\"><\/span><\/div>\n\t<div class=\"wpb_text_column wpb_content_element\" >\n\t\t<div class=\"wpb_wrapper\">\n\t\t\t<p>While the value of dividends is not debatable, we can be more critical of share buybacks, because their rationality is not always completely clear. In theory, it makes sense for a company generating excess cash to buy its own stock when it is undervalued. In practice, however, companies even buy back grossly overvalued shares, citing the tax advantage of buybacks over dividends, for example. Unfortunately, the real motivation behind buying back own stock is often twofold: 1) pushing the stock price higher and\/or 2) reducing the number of shares which automatically increases earnings per share. It may not be pure coincidence that these two elements, share price and earnings per share, are often among the key indicators of executives\u2019 performance.<\/p>\n\n\t\t<\/div>\n\t<\/div>\n\n\t<div class=\"wpb_text_column wpb_content_element\" >\n\t\t<div class=\"wpb_wrapper\">\n\t\t\t<p>To avoid finding ourselves in the company of manipulative managers, we scrutinize companies that resort to share buybacks a little too often.<\/p>\n\n\t\t<\/div>\n\t<\/div>\n<div class=\"vc_empty_space\"   style=\"height: 25px\"><span class=\"vc_empty_space_inner\"><\/span><\/div><\/div><\/div><\/div><\/div><\/div><\/div>","protected":false},"excerpt":{"rendered":"L\u2019importance des flux de tr\u00e9sorerie disponible est \u00e9vidente et r\u00e9sulte en une solidit\u00e9 structurelle du bilan. L\u2019exc\u00e8s de flux de tr\u00e9sorerie...","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"full-width.php","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"_themeisle_gutenberg_block_has_review":false,"footnotes":""},"class_list":["post-6141","page","type-page","status-publish","hentry"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/stabiho.com\/en\/wp-json\/wp\/v2\/pages\/6141","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stabiho.com\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/stabiho.com\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/stabiho.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stabiho.com\/en\/wp-json\/wp\/v2\/comments?post=6141"}],"version-history":[{"count":7,"href":"https:\/\/stabiho.com\/en\/wp-json\/wp\/v2\/pages\/6141\/revisions"}],"predecessor-version":[{"id":7102,"href":"https:\/\/stabiho.com\/en\/wp-json\/wp\/v2\/pages\/6141\/revisions\/7102"}],"wp:attachment":[{"href":"https:\/\/stabiho.com\/en\/wp-json\/wp\/v2\/media?parent=6141"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}