Benzinga | Apr 6, 2021 10:12AM EDT

Analyzing Trinseo's Ex-Dividend Date

On February 18, 2021, Trinseo (NYSE:TSE) declared a dividend payable on April 22, 2021 to its shareholders. Trinseo also announced that shareholders on the company's books on or before April 8, 2021 are entitled to the dividend. The stock will then go ex-dividend 1 business day(s) before the record date. Trinseo, which has a current dividend per share of $0.08, has an ex-dividend date scheduled for April 7, 2021. That equates to a dividend yield of 0.52% at current price levels.

The Significance Of Ex-Dividend Dates

Ex-dividend dates signal when company shares cease to trade with their current dividend payouts. There is a small intermission period before companies announce new dividends. 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.

Trinseo's Dividend History

Over the past year, Trinseo has experienced an overall downward trend regarding its dividend payouts and yields. Last year on April 8, 2020 the company's payout was $0.4, which has since decreased by $0.32. Similarly, Trinseo's dividend yield last year was 6.58%, which has since declined by 6.06%.

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.

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