The Daily Kill Sheet Picking Off Profits One Stock At A Time!

December 11, 2012

Daily Kill Sheet For December 11, 2012

Filed under: Long,Retail,Specialty Retail,Uncategorized — Administrator @ 9:50 am

I am closing out my 10/4 trading call on Limited Brands (LTD, $51.64) with a 2.5% gain. Last night after the close, Limited announced a $3.00 a share special dividend payable on December 26th to shareholders of record on December 20th.

I batted a 1000 on this call. In early October I speculated that there was a good chance that both The Buckle and Limited would announce special dividends given their past history of announcing special dividends, and the fact that tax laws are set to change next year, raising the rate at which dividends were taxed. In late November BKE announced a $4.00 a share special dividend, and last night LTD announced their $3.00 a share special dividend. At this point, I’ll take the money and run and leave someone else to collect the dividend. We closed BKE with an 11% gain and now LTD with a 2.5% gain, thus we did pretty well with our special dividend calls.

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