MTU 0.00% $12.17 m2 group ltd

The only thing I can think of that may account for the drop in...

  1. 68 Posts.
    The only thing I can think of that may account for the drop in price is that with interest rates on the rise dividends paid by companies like MTU become slightly less attractive relative to safe investments like bonds, term deposits etc and also MTU would have to pay more in servicing its debt so it can’t pay as much in dividends but it shouldn’t have too much effect. Also people using borrowed money to invest in shares have to pay more and may be more inclined to sell some of their holdings. I used borrowed money to buy MTU but the dividends pretty much cover the interest payments and I figure MTU isn't likely to go down much but can potentially still go up quite a bit so I’m going to continue to hold. The many small parcels traded don’t make much sense unless maybe someone is trying to lower the price. When the next interim dividend is announced it should bring more certainty as to what the price of MTU should be.
 
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