In the video below, Fool analyst Eric Bleeker discusses why the best news for Frontier (NASDAQ:FTR) investors in each earnings report is no news. Eric rehashes some of the more notable statistics from the company's earnings report. However, in the end, Eric notes that the major problem with Frontier is that investors buy the company for its dividend; yet any dividend payments that long-term investors counted on were wiped out when the stock cratered in 2011. Instead, if Frontier can reach a point where its share price treads water, and it executes on its strategy, investors can collect their dividend, yielding 9% a year.
From that perspective, Frontier's recent ho-hum earnings were a major win for the company. As long as investors in Frontier don't mind the stock price staying near current levels, they should be happy collecting the company's huge dividend. To see Eric's full thoughts, watch the video below.
Eric Bleeker, CFA has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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