Benzinga | Nov 9, 2020 10:22AM EST

Understanding KB Home's Ex-Dividend Date

KB Home (NYSE: KBH) declared a dividend payable on November 26, 2020 to its shareholders as of October 8, 2020. It was also announced that shareholders of KB Home's stock as of November 12, 2020 are entitled to the dividend. The stock is expected to become ex-dividend 2 business day(s) before the record date. The ex-dividend date for KB Home is set for November 10, 2020. The company's current dividend payout sits at $0.15, equating to a dividend yield of 1.56% at current price levels.

Understanding 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.

KB Home's Dividend History

Over the past year, KB Home has seen its dividend payouts and yields climb upward overall. Last year (November 13, 2019), the company's payout sat at $0.09, which has since increased by $0.06. KB Home's dividend yield last year was 1.0%, which has since grown by 0.56%.

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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