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Yet another benefit of preferreds is the fact that the companies that problem them never have to boost the dividends. Granted firms are never ever necessary to increase prevalent stock dividends, However they often do to be able to keep the yield aggressive relative to the value because it rises over time. On the flip side, chosen stock price ranges normally hover around their issuing and/or redemption selling price-typically $25.
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We imagine you'll find a few explanations why Tsakos' future prospective buyers are better than they look. Initial, Despite the fact that Tsakos skipped expectations by two cents when it introduced earnings at the end of November, it did conquer on revenues (an excellent detail). It skipped earnings mainly because it integrated $2.five million of special survey expenses that would Usually happen to be incurred in a later on stage and are already spread about a longer period (As outlined by management: "We took advantage of the pretty weak current market on the 3rd quarter to bring ahead a few of our surveys").
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