Benzinga | Oct 28, 2020 10:20AM EDT

Understanding AGNC Investment's Ex-Dividend Date

On October 8, 2020, AGNC Investment (NASDAQ: AGNC) announced shareholders can expect to receive a dividend payable on November 10, 2020. The stock will then go ex-dividend 1 business day(s) before the record date. AGNC Investment, which has a current dividend payout of $0.12, has an ex-dividend date scheduled for October 29, 2020. That equates to a dividend yield of 10.29% at current price levels.

What Are Ex-Dividend Dates?

An ex-dividend date is when a company's shares stop trading with its current dividend payout in preparation for the company to announce a new one. 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 AGNC Investment's Dividend Performance

Over the past year, AGNC Investment has experienced no change regarding its dividend payouts and a downward trend regarding its yields. Last year on June 29, 2020 the company's payout was $0.12, which has returned to its value today. AGNC Investment's dividend yield last year was 11.11%, which has since decreased by 0.82%.

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.