Benzinga | Mar 8, 2021 10:12AM EST

Ex-Dividend Date Insight: Omnicom Group

On February 18, 2021, Omnicom Group (NYSE:OMC) declared a dividend payable on April 8, 2021 to its shareholders. Omnicom Group also announced that shareholders on the company's books on or before March 10, 2021 are entitled to the dividend. The stock will then go ex-dividend 1 business day(s) before the record date. Omnicom Group, whose current dividend payout is $0.7, has an ex-dividend date set at March 9, 2021. The payout equates to a dividend yield of 4.17% at current price levels.

Understanding 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.

Omnicom Group's Dividend Payouts And Yields

Over the past year, Omnicom Group has seen its dividend payouts and yields climb upward overall. Last year (March 9, 2020), the company's payout sat at $0.65, which has since increased by $0.05. Omnicom Group's dividend yield last year was 3.38%, which has since grown 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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