Telefonica Jumps Following Dividend Cut

Conventional wisdom in the stock market offers that a stock will go up when a dividend is announced, and will go down if a dividend is cancelled. Bucking that trend last week was Telefonica (TEF), which is up some 10% since it announced the elimination of its dividend. I'd have to agree with the market on this one - the absence of a dividend makes this a more appealing stock for investors, for several reasons.Read more...