Understanding Dynex Cap's Ex-Dividend Date

Dynex Cap DX declared a dividend payable on April 1, 2021 to its shareholders as of March 11, 2021. It was also announced that shareholders of Dynex Cap's stock as of March 22, 2021 are entitled to the dividend. The stock is expected to become ex-dividend 1 business day(s) before the record date. Dynex Cap, which has a current dividend per share of $0.13, has an ex-dividend date scheduled for March 19, 2021. That equates to a dividend yield of 8.44% at current price levels.

What Are Ex-Dividend Dates?

An ex-dividend date signals when a company's shares cease to trade with its current dividend payout. There is a small intermission period before the company announces a new dividend. Usually, a company's ex-dividend date falls one business day before its record date. Investors should keep this in mind when purchasing stocks because buying them on or after ex-dividend dates does not qualify them to receive the declared payment. Newly declared dividends go to shareholders who have owned that stock before the ex-dividend date. Typically, companies will announce and implement new dividend yields on a quarterly basis.

Understanding Dynex Cap's Dividend Performance

Over the past year, Dynex Cap has seen its dividend payouts remain the same and its yields trend downward. Last year on November 19, 2020 the company's payout sat at $0.13, which has returned to its value today. Dynex Cap's dividend yield last year was 9.23%, which has since decreased by 0.79%.
Companies use dividend yields in different strategic ways. Some companies may opt to not give yields altogether to reinvest in themselves. Other companies may opt to increase or decrease their yield amounts to control how their shares circulate throughout the stock market.

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