When will Google (GOOG) start paying dividends?
Google (Nasdaq: GOOG), as most of the internet users in the whole world would know, is one of the internet giants financially and in share of internet search. Its major competitors are Yahoo and Microsoft - both are also listed in the US stock market.
Google stock shares started trading in Aug. 2004 at a price of around US$100 (IPO price of US$85.00). It reached a per share price of more than US$700 in 2007, more than 600% increase in just around 3 years. However, its share price slowly went down in the following years due probably to the global economic crisis and other various reasons. If you bought Google share during its “high time” period in 2007, you are definitely at loss for more than 2 years now.
It has been the general impression of the internet world and of its stock holders that Google is a very rich company. And I think it is indeed. However, Google, ever since it became public has never ever distributed a single cent of dividend to its stock holders. If you bought Google shares when its share price was still in the US$700 mark, I’m sure that you haven’t had received a single penny of compensation for your hard earned investment from this company.
In the future, can its shareholder expect Google to start paying dividends? Here’s their answer from their investor FAQ page;
Question: Does Google pay a cash dividend?
Google: No, we have never declared or paid a cash dividend nor do we expect to pay any dividends in the foreseeable future. ”
http://investor.google.com/faq.html#dividend
Sorry but you cannot expect a dividend from Google, so just hope that its share price would appreciate in the future to cash-in your possible gain, in case you have.
Filed in: Stocks and Stock Market
Local date: March, 2010