Several key stocks, including Jio Financial Services, Castrol India, and Akzo Nobel India, traded ex-dividend on August 11, 2025. This means that investors who purchased these stocks on or after this date will not be eligible for the upcoming dividend payment. The ex-dividend date is a crucial date for investors as it determines their eligibility for receiving dividend payouts.
Understanding the Ex-Dividend Date
The ex-dividend date, often referred to as the "ex-date," is the cutoff date that determines which shareholders are entitled to receive a declared dividend. If an investor buys shares on or after the ex-dividend date, they will not receive the next dividend payment; instead, the seller will receive it. To be eligible for the dividend, investors must purchase the stock before the ex-dividend date.
Typically, the ex-dividend date is set one business day before the record date. The record date is the date on which the company identifies the shareholders who are eligible to receive the dividend. This timing is due to the settlement process for stock trades, which usually takes one business day.
Key Stocks Trading Ex-Dividend
Impact on Stock Prices
Theoretically, on the ex-dividend date, the stock price is expected to decrease by the amount of the dividend, although this may be influenced by other market factors. This price adjustment occurs because new buyers are not entitled to the upcoming dividend payment.
Importance for Investors
The ex-dividend date is an essential consideration for investors who want to receive dividend payments. To ensure eligibility, investors must purchase the shares before the ex-dividend date. Missing the ex-dividend date means the dividend will be paid to the previous shareholder.
