Saga (LON: SAGA) is considering whether to reduce its dividend, but this is not necessarily a bad thing. The debt burden is significant, and this does not help the share price.
Saga talks in its recent trading statement about capital allocation. This is financial speak for considering whether to maintain the dividend.
The insurance, travel and cruising company is keen to reduce the debt on its balance sheet and cutting the dividend will certainly help. The current yield is 8.9%.
Dividend
The 2018-19 dividend was 4p a share and it has been assumed that this would be maintained for 2019...
