Benzinga | Aug 16, 2021 10:42AM EDT

Ex-Dividend Date Insight: Select Medical Holdings

Select Medical Holdings (NYSE:SEM) declared a dividend payable on August 30, 2021 to its shareholders as of August 4, 2021. It was also announced that shareholders of Select Medical Holdings's stock as of August 18, 2021 are entitled to the dividend. The stock is expected to become ex-dividend 1 business day(s) before the record date. Select Medical Holdings, whose current dividend payout is $0.12, has an ex-dividend date set at August 17, 2021. The payout equates to a dividend yield of 1.26% 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.

Select Medical Holdings's Dividend Performance

Over the past year, Select Medical Holdings has experienced an overall upward trend regarding its dividend payouts and a downward trend regarding its yields. Last year on August 18, 2014 the company's payout was $0.1, which has since grown by $0.02. Select Medical Holdings's dividend yield last year was 2.61%, which has since decreased by 1.35%.

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 Select Medical Holdings's previous dividends.