CJREF - Should You Buy Corus Entertainment And Its 17.8%-Yielding Dividend?
Investment Thesis
Corus Entertainment (CJREF) (TSX:CJR.B) owns a portfolio of TV channels and radio stations in Canada. Corus’ advertising revenue remains weak due to limited visibility. Despite a sustainable dividend payout ratio, in order for the company to deleverage its balance sheet, management will have to slash its dividend aggressively. However, nothing is sure at this moment as management only indicates that more updates will be revealed in its next earnings conference call. In the meantime, Corus’ share price is quite attractive at its current level. However, given the uncertainty about management’s plan,