Benzinga | Apr 29, 2021 10:17AM EDT

Understanding Pinnacle West Capital's Ex-Dividend Date

On April 21, 2021, Pinnacle West Capital (NYSE:PNW) announced shareholders can expect to receive a dividend payable on June 1, 2021. The stock will then go ex-dividend 1 business day(s) before the record date. Pinnacle West Capital has an ex-dividend date set for for April 30, 2021. The company's current dividend payout is $0.83, which equates to a dividend yield of 3.86% at current price levels.

The Significance Of Ex-Dividend Dates

Ex-dividend dates are when company shares stop trading with their current dividend payouts in preparation for those companies to announce new ones. 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.

Pinnacle West Capital's Dividend Performance

Over the past year, Pinnacle West Capital has seen its dividend payouts climb upward and its yields trend downward. Last year on May 1, 2020 the company's payout sat at $0.78, which has since increased by $0.05. Pinnacle West Capital's dividend yield last year was 4.14%, which has since decreased by 0.28%.

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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