Investors who bought shares of Potash Corporation of Saskatchewan Inc. (TSX:POT)(NYSE:POT) in recent years are aware of the fact that the world’s largest producer of potash has seen its dividend reduced substantially over the years.
Once a top dividend option on the TSX, Potash Corp. investors who have relied on Potash Corp. to be a top dividend producer have largely shifted their focus away from this company in favor of other higher-yielding names, as the company’s current yield of 2.3% just won’t make the cut for the vast majority of yield-seekers out there.
I initially considered Potash Corp. when its dividend yield peaked around 7% -- just prior to the dividend cuts which have led to the stock’s current yield. At the time a dividend cut appeared to be around the corner, and I avoided this stock for some time, only now returning to the fold as an interested investor with more upside potential for this business’ ability to return value to shareholders than downside.