Benzinga | Feb 18, 2021 10:14AM EST

Understanding Woodward's Ex-Dividend Date

Woodward (NASDAQ:WWD) declared a dividend payable on March 8, 2021 to its shareholders as of February 1, 2021. It was also announced that shareholders of Woodward's stock as of February 22, 2021 are entitled to the dividend. The stock is expected to become ex-dividend 1 business day(s) before the record date. Woodward has an ex-dividend date set for for February 19, 2021. The company's current dividend payout is $0.16, which equates to a dividend yield of 0.58% at current price levels.

What Are Ex-Dividend Dates?

An ex-dividend date is when a company's shares stop trading with its current dividend payout in preparation for the company to announce a new one. 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 Woodward's Dividend Performance

Over the past year, Woodward has seen its dividend payouts and yields descend downward overall. Last year on February 14, 2020 the company's payout sat at $0.28, which has since decreased by $0.12. Woodward's dividend yield last year was 0.95%, which has since declined by 0.37%.

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.

Click here to find details on Woodward's previous dividends.