Benzinga | Aug 2, 2021 11:18AM EDT

Analyzing MarketAxess Holdings's Ex-Dividend Date

On July 21, 2021, MarketAxess Holdings (NASDAQ:MKTX) declared a dividend payable on August 18, 2021 to its shareholders. MarketAxess Holdings also announced that shareholders on the company's books on or before August 4, 2021 are entitled to the dividend. The stock will then go ex-dividend 1 business day(s) before the record date. MarketAxess Holdings, whose current dividend payout is $0.66, has an ex-dividend date set at August 3, 2021. The payout equates to a dividend yield of 0.57% at current price levels.

What Is An Ex-Dividend Date?

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.

Understanding MarketAxess Holdings's Dividend Payouts And Yields

Over the past year, MarketAxess Holdings has seen its dividend payouts and yields climb upward overall. Last year (August 4, 2020), the company's payout sat at $0.6, which has since increased by $0.06. MarketAxess Holdings's dividend yield last year was 0.45%, which has since grown by 0.12%.

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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