How Dividends Affect Stock Prices - Investopedia
$SIA(C6L.SG$ The article revealed how paying dividends may affect the share price. Note that there are many factors that may affect share price other than dividends. Personally I am taking a long position so volatility is just noise to me. If you believe the company has growth potential, buy when the stock dip but do it prudently.
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After a stock goes ex-dividend, the share price typically drops by the amount of the dividend paid to reflect the fact that new shareholders are not entitled to that payment.
Dividends paid out as stock instead of cash can dilute earnings, which can also have a negative impact on share prices in the short term.
On the ex-date, investors may drive down the stock price by the amount of the dividend to account for the fact that new investors are not eligible to receive dividends and are therefore unwilling to pay a premium.
Dividends paid out as stock instead of cash can dilute earnings, which can also have a negative impact on share prices in the short term.
On the ex-date, investors may drive down the stock price by the amount of the dividend to account for the fact that new investors are not eligible to receive dividends and are therefore unwilling to pay a premium.
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I reflected trading experiences by writing journals. My comments are for educational purposes not financial advice.
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