- Methanex has increased their dividends by a massive 233% after reducing them to almost nothing during the turmoil of 2020.
- I have previously expected that their dividends could return and when looking ahead, plenty more should follow.
- Their operating cash flow during the second quarter of 2021 was even better than during the first quarter as operating conditions recovered.
- Their new capital allocation strategy aims to build a cash balance of $300m plus whatever is required to fund their Geismar 3 project before further increasing their shareholder returns.
- Based upon my estimations, they could achieve this goal with one year, and thus given this favorable outlook, I believe that maintaining my bullish rating is appropriate.
For further details see:
Methanex: Dividends Surging Back As Expected With Plenty More To Follow