Benzinga | Aug 6, 2021 10:17AM EDT

Ex-Dividend Date Insight: Rush Enterprises

Rush Enterprises (NASDAQ:RUSHA) declared a dividend payable on September 10, 2021 to its shareholders as of July 20, 2021. It was also announced that shareholders of Rush Enterprises's stock as of August 10, 2021 are entitled to the dividend. The stock is expected to become ex-dividend 1 business day(s) before the record date. Rush Enterprises, whose current dividend payout is $0.19, has an ex-dividend date set at August 9, 2021. The payout equates to a dividend yield of 1.73% at current price levels.

The Significance Of 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. Most ex-dividend dates operate on a quarterly basis.

Understanding Rush Enterprises's Dividend Performance

Over the past year, Rush Enterprises has experienced an overall upward trend regarding its dividend payouts and yields. Last year on August 6, 2020 the company's payout was $0.14, which has since grown by $0.05. Similarly, Rush Enterprises's dividend yield in last year was 1.25%, which has since grown by 0.48%.

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 Rush Enterprises's previous dividends.