Who is knowledgeable about dividend stock?

Question

How you know what company that gives out dividend stock each month? And do you have to buy minimum a month of shares to get dividend back? What if I already purchased some stocks, how can I find out if they give dividends?

Jean Francillon · Answer

@Ryan Allen that was very helpful. Thank you

Ryan Allen · Answer

Jean,

As previously mentioned you only need to own (1) share to receive a dividend, there is no minimum. Dividends are profit distributed to the shareholders(owners) of the company.

Declaration date - the company's management will announce they are paying a dividend, the amount, when it will be paid, and the ex-dividend date.

Ex-dividend date - Existing shareholders will receive the dividend. If you buy a share of this company after this date, you will not receive the dividend. If you sell your stock after this date, you will still receive the dividend.

Payment date - You will receive the dividend.

To determine how much in dividends the companies pay I would first look at what the company declares and what they've paid in the past. You can also use a stock screener and screen for dividend yield >0%. That will list companies that give you a dividend. Then you multiply the Dividend Yield by the stock price for the yearly dividend amount. Then divide that by 4 and that's what the quarterly dividend would be.

Jean Francillon · Answer

@Mike S. Ok thanks for this

Mike S. · Answer

@Jean Francillon

Dividend are per share.

You can have 1 or 1000 it does not matter.

You will have to own the share on the date before the ex-dividend date to receive the dividend.

Jean Francillon · Answer

@Joe Splitrock is there a minimum amount of shares you need to buy to get dividend from that company?

Jean Francillon · Answer

@Joe Splitrock thank you for this

Joe Splitrock · Answer

@Jean Francillon many dividend stocks pay quarterly instead of monthly.

There is many places to get this information. One I use is finance.yahoo.com and you can search out any stock. For example Apple you would search their symbol, AAPL. The forward dividend and yield is the dollar amount paid annually and percentage that is of current stock price.

Keep in mind that dividends are not guaranteed. In times of trouble companies will reduce or even eliminate dividends.