If a company truly never paid a dividend, there would be no way for the investing community as a whole to ever get a return on its investment. It would therefore not make sense to invest in the firm's stock.

Question

Quizplus · Accepted Answer

If a company never paid a dividend, investors would not receive any return on their investment, making it unwise to invest in the company's stock.

If a Company Truly Never Paid a Dividend, There Would