Seeking Alpha

Biglari wants $20/share special dividend from Cracker Barrel

  • Sardar Biglari says Cracker Barrel (CBRL) should declare a $20/share special dividend.
  • Hoarding cash when rates are near zero is "asinine," Biglari says, adding that "plowing money into [new stores] at a low return on invested capital [and] paying down debt when the financing environment is favorable" are equally asinine uses of cash.
  • Biglari intends to call a special shareholder meeting to vote on the dividend if the board continues to "dillydally" with the proposal.
  • Biglari's advice to the company: "You would be best served to place us on the Board and forgo the time, energy, and shareholder money to fight us."
  • More on Biglari and CBRL here
From other sites
Comments (1)
  • Devlin McGregor
    , contributor
    Comments (118) | Send Message
    This is one whale of a dumb idea. Why not just go on mass robbery spree of Cracker Barrel stores and get the money that way Sardar. This company has been a great dividend growth stock and paying out such a ridiculous amount in a one time special dividend is the epitome of short-sighted, Wall Street stupidity.
    17 Sep 2013, 08:16 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs