CenturyTel (CTL) NewsBite - CenturyTel Raises Dividend

Posted on Tuesday, June 24, 2008 10:20 AM

CenturyTel Inc. (CTL) opened at 34.37. So far today, the stock has hit a low of 34.37 and a high of 36.75. CTL is now trading at 36.01, up 4.76 (13.85%). The stock hit its 52 week high of 49.91 in July and set its 52 week low of 30.55 in April. CTL has been slipping for the past year. CenturyTel announced this morning it lifted its annual dividend and accelerated buyback plan for repurchasing $385 million of shares. The company raised the annual dividend to $2.80 from 27 cents, bringing the new quarterly rate to 70 cents. Technical indicators for the stock are bearish but slightly improving while S&P gives CTL a positive 4 STARS (out of 5) buy rating. If you’re looking for a hedged play on this stock, consider an August bull-put credit spread below the $30 range. CTL stock could fall up to 16.7% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]