Benzinga | Jul 1, 2021 10:11AM EDT

Analyzing Parke Bancorp's Ex-Dividend Date

Parke Bancorp (NASDAQ:PKBK) declared a dividend payable on July 20, 2021 to its shareholders as of June 23, 2021. It was also announced that shareholders of Parke Bancorp's stock as of July 6, 2021 are entitled to the dividend. The stock is expected to become ex-dividend 2 business day(s) before the record date. Parke Bancorp has an ex-dividend date set for for July 2, 2021. The company's current dividend payout is $0.16, which equates to a dividend yield of 3.25% at current price levels.

The Significance Of An Ex-Dividend Date

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.

Parke Bancorp's Dividend History

Over the past year, Parke Bancorp has experienced no change regarding its dividend payouts and a downward trend regarding its yields. Last year on July 9, 2020 the company's payout was $0.16, which has returned to its value today. Parke Bancorp's dividend yield last year was 4.72%, which has since decreased by 1.47%.

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 Parke Bancorp's previous dividends.