It may have been a bit surprising when high-yielding shares seem sometimes to decline sharply without any apparent reason. The declines are risk-free and the reason is ordinary. It is controlled with the way the market considers dividend payments. It’s important for investors to find out exactly when shareholders qualify for a dividend and when they do not, in addition to how and when that fact will be taken into account by the market.[article_detail_ad_1]
You may know about the ‘record’ date and the payment date but the one that causes most confusion is The ‘ex-dividend’ date. This is usually the second business day before the record date. For instance, if record date is Friday then the ex-dividend date will be on Wednesday.
Settlement dates drive ex-dividend dates to be fixed this way. Therefore, investors need to acquire a stock three days ahead of the record date or the day prior to the ex-dividend date to be sure of qualifying for the dividend payment. This process has to be followed because three days for settlement is needed before the shareholder’s name goes on the register. Stocks discussed below are going to reach their ex-dividend dates in next two business days.
Kaman Corporation (NYSE:KAMN) has been paying dividend since 1972 and made 4 payments in last 12 months. The company now holds an annual dividend yield of 1.75%. The stock floated between $32.35 and $37.43 during the last session, leaving market capitalization at $972.63 million. Kaman Corporation operates in the aerospace and industrial distribution markets.
Portland General Electric Company (NYSE:POR) an integrated electric utility, engages in the generation, purchase, transmission, distribution, and retail sale of electricity in the state of Oregon. Portland General Electric Company first paid dividend in 2006 and currently has a dividend yield of 3.91%. The stock in the past 52 weeks has been trading in the range of $24.25 – $28.08. The market value of this company has reached $2.09 billion.
Sothebys (NYSE:BID) started paying dividend in 2006 and now provides a dividend yield of 1.20%. The stock changed hand between $32.63 and $33.48 in the last trading session. After latest close, its market capitalization was $2.26 billion. Sotheby’s, together with its subsidiaries, operates as an auctioneer of authenticated fine and decorative art, jewelry, and collectibles in the United States, the United Kingdom, China, France, and internationally.
Ituran Location and Control Ltd. (US) (NASDAQ:ITRN) maintains a payout ratio of 133.68%. The first year it announced dividend was 2006. The stock over the last 52 weeks has been trading between $10.59 and $15.72. Its market value now stands at $309.17 million. Ituran Location and Control Ltd., together with its subsidiaries, provide location-based services and wireless communication products in Israel, Brazil, Argentina, and the United States.
Alexander’s, Inc. (NYSE:ALX), a real estate investment trust (REIT), engages in leasing, managing, developing, and redeveloping properties in the greater New York City metropolitan area. Alexander’s, Inc. announced dividend for the first time in 2008. The company has been maintaining consecutive dividend increases for the last 1 years and its current annual dividend yield is 3.33%.