Apple, Microsoft and Nvidia been giving out dividends for a long time despite being a huge tech firm.
As of recently, Google and Meta decide to begin giving out dividends to its shareholders. Is this seen as bullish?
We hold big tech firms due to huge earning growth potential and they tend to distribute their earnings into innovation and R&D, which will with no doubt boost their future earning if done right.
Now that Google and Meta begin to give out dividend, it seems appealing for mutual fund managers to add more into their portfolios, which will boost their stock prices further. But this will probably hurt their future earning potential in long term as they will have less allocated to R&D. What do y'all think?
This will also give pressure to Amazon to consider offering dividend to their shareholders. Tesla? I don't think so.
