Benzinga | Nov 23, 2020 10:15AM EST

Understanding Forward Air's Ex-Dividend Date

On October 27, 2020, Forward Air (NASDAQ: FWRD) announced shareholders can expect to receive a dividend payable on December 10, 2020. The stock will then go ex-dividend 1 business day(s) before the record date. Forward Air has an ex-dividend date set for for November 24, 2020. The company's current dividend payout is $0.21, which equates to a dividend yield of 1.36% at current price levels.

Understanding 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.

Forward Air's Dividend Performance

Over the past year, Forward Air has seen its dividend payouts and yields climb upward overall. Last year (November 20, 2019), the company's payout sat at $0.18, which has since increased by $0.03. Forward Air's dividend yield last year was 1.1%, which has since grown by 0.26%.

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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