Yes, I did read it. Again, why the dividend payment is going to be close to 1.13 and the price went down by only 0.64?
Its special dividend, but shouldn't anything on top of 64 cents would also bring down the stock price by same amount?
Practically, its Vod's dividend payment so why it should not change the stock price?
Is the special dividend included in this payout? Seems like they might be giving the regular dividend of 64 cents and extra special dividend.
Can someone please tell me the overall payment for today's ex-dividend date?
Thanks for the clarity. I just bought VOD stock and Nov $30 Put (expiring in 3 days) for a net of $30.5. For an expected loss of $0.50 on per unit position, a dividend of $1.13 sounds really good (net profit of $0.63) which I should get if I exercise the option tomorrow.
Just to circle back - my plan didn't work out- My put option position is changed to the following this morning:
VOD 100 (US$ 63.74) NOV 11 30 PUT
I had to call my broker and after a long wait and confusion what I've learnt is that the option is adjusted too for the $0.63 cash within it (I have to pay it if I exercise it) so all in all, it was nothing but a wash - except that I paid some transaction fees.
Well, some new lesson learnt (which I should have known before). For more details on option adjustments with special dividends - here is an article which I found.
You are quite the thinker. You could just wait till the end of the week, t just in case VOD goes to $31. Or if the price pops up to $29 something you could cover. Then again, looks like you have it all figured out. Let us know if your plan does not work.
Did you see the volumne on the November $28 calls? 277,699 contracts. I can under stand everyone selling covered calls thinking the price of the stock will tank tomorrow, but who is buying? WOW. This might be interesting to watch.
"ex dividend" date means that the purchase must be made before that date...not on or after. I expect, but do not know, that the exercise of an option on the ex dividend date would be the same as buying the stock on that date and would not qualify for the dividend....
do your own due diligence....speak to your broker about this one..
Vodafone web site, Investor Relations, half year results report. Read it--it's very helpful. States regular dividend will be 3.05 pence, special dividend will be 4.0 pence, both to go ex and be paid simultaneously. One ADR equals 10 British shares, therefore 70.5 pence per ADR. 70.5 Pence x 1.6 = 1.128 per share (Pound is about 1.6/Dollar right now). HTH