Several key stocks are set to trade ex-dividend today, July 4, 2025, presenting a noteworthy event for investors focused on dividend payouts. Trading ex-dividend means that new buyers of the stock will not be eligible for the upcoming dividend payment; only shareholders who owned the stock before the ex-dividend date are entitled to receive it. Here’s a look at some of the prominent companies turning ex-dividend:

Nestle India

FMCG giant Nestle India will trade ex-dividend today for its final dividend of ₹10 per share for the financial year 2024-25. The record date to determine shareholders' eligibility for the dividend is also set for July 4, and the dividend is expected to be paid on or after July 24. In addition to the dividend, Nestle is also in focus because the company's Q1 results and bonus issue record date are also expected this month. Nestle has also declared a bonus issue in the ratio of 1:1. The company's board is scheduled to meet on July 24, 2025, to consider and approve the unaudited financial results for the first quarter ending June 30, 2025.

Mahindra & Mahindra (M&M)

Mahindra & Mahindra (M&M), a leading passenger car maker in India, is also turning ex-dividend today. The company announced a dividend of ₹25.3 per share. The record date for the dividend is July 4, 2025, and it will be paid after July 31. M&M is considered a top dividend yield stock in the automobile sector. M&M's overall auto sales for June 2025 stood at 78,969 vehicles, reflecting a 14% growth, including exports.

Axis Bank

Axis Bank has set July 4 as the record date for its final dividend of Re 1 per share. Investors had to hold the bank's shares by the end of trading on July 3 to be eligible for the dividend. Axis Bank reported a net profit of ₹7,117.5 crore for the quarter ending March 31, 2025. Net interest income increased by 6% to ₹13,811 crore, and net interest margins improved to 3.97% compared to the previous quarter.

Other Key Stocks

Apart from Nestle India, M&M, and Axis Bank, other notable companies set to trade ex-dividend today include Bharat Forge, Biocon, Central Bank, Escorts, Tech Mahindra, DCB Bank, and Mac Healthcare. Tech Mahindra is offering a final dividend of ₹30 per share.

T+1 Settlement Cycle

It's important to note that due to India's T+1 settlement cycle, investors who purchased shares on July 3 are eligible for the dividend. Shares bought on the record date, July 4, will not qualify for the dividend payment.

Dividend Importance

Ex-dividend dates are critical for investors, as they determine eligibility for the upcoming dividend payment. To receive a company's dividend, investors must purchase the stock before its ex-dividend date. This date is set by the stock exchange and typically falls one day before the record date.