Benzinga | Feb 8, 2021 10:22AM EST

Understanding Mueller Water Products's Ex-Dividend Date

Mueller Water Products (NYSE:MWA) declared a dividend payable on February 22, 2021 to its shareholders as of January 27, 2021. It was also announced that shareholders of Mueller Water Products's stock as of February 10, 2021 are entitled to the dividend. The stock is expected to become ex-dividend 1 business day(s) before the record date. Mueller Water Products, whose current dividend payout is $0.06, has an ex-dividend date set at February 9, 2021. The payout equates to a dividend yield of 1.79% at current price levels.

The Significance Of 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. Most ex-dividend dates operate on a quarterly basis.

Mueller Water Products's Dividend History

Over the past year, Mueller Water Products has seen its dividend payouts remain the same and its yields climb upward overall. Last year on February 7, 2020 the company's payout sat at $0.05, which has returned to its value today. Mueller Water Products's dividend yield last year was 1.73%, which has since grown by 0.06%.

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.

To read more news on Mueller Water Products click here.