RE: Dividend cut3 Nov 2021 14:06
Dividends are left pocket right pocket really. If divi is cut, it goes to cash at hand. Cash is an asset, so if that increases, the valuation increases. Hence the sp fall on ex div dates.
Only problem with div cut is it doesn't instill confidence and thus can crash the sp.
On the other hand VOD has cash to buy back their own shares. Why would they do that if they thought they couldn't continue to cover the divis?