"I've been doing this over 20 years I think I know what I am talking about."
Oh, well, that changes everything. You're a regular Alvin Einstein.
The article is wrong on both counts. The record date is the day a company "finalizes its roster of investors," and the record date is Thursday, not Tuesday.
jrcumins, instead of believing sloppy articles and faulty counting, why don't you do yourself a favor and learn how dividend really work? If you do a google search for Understanding Dividend Dates and read the first return, you'll know that article was wrong.
Besides, the NYSE says the ex-date is Tuesday, and it's the stock exchange that determines ex-dates, not companies.
Of course that site, Understanding Dividend Dates, wonn't teach you to count to three, so I don't know what you're going to do about that.
"cwn600, that's exactly I am talking about"
No, it's not.
"If you buy on Tues. you still get the divy."
No, you don't.
"16,17,18 is the 3 days I am talking about."
You're talking about the wrong days. Either that or you don't know how to count. C'mon, jrcumins, count to three with me.
You buy the stock on the 16th. The first day we count is the 17th. With me so far?
The second day we count is the 18th. I can type slower if you'd like, though you can get the same effect by reading slower.
OK, now here's the big finale. You ready? The third day we count is the 19th. Still with me, or are you hopelessly lost?
A trade on the 16th settles on the 19th. To get the dividend, a trade has to settle no later than the 18th. That's why today was the last day to buy the stock to get the dividend.
The days you're talking about are not the days that count.
"Please read the conference call transcript at earnings."
For what purpose? The dividend declaration has the relevant information:
"SAN RAMON, Calif.--(BUSINESS WIRE)--
The Board of Directors of Chevron Corporation (CVX) today declared a quarterly dividend of one dollar and seven cents ($1.07) per share, payable March 10, 2016, to all holders of common stock as shown on the transfer records of the Corporation at the close of business February 18, 2016."
It says right there that the record date is February 18. A record date of the 18th makes the ex-date Tuesday, the 16th. Because of the three day settlement period for stock trades, to become a "holder of common stock as shown on the transfer records of the Corporation at the close of business February 18, 2016" the stock had to be purchased before the end of extended hours trading today. That's the way it works.
"ex date is on the 18th"
No, that's the record date. The ex-date is the 16th. Record date and ex-date are not the same thing.
"means you have to buy on 16"
No, today was the last day to buy and get the dividend.
"Isn't CVX ex date 2/16 (Tuesday)? "
"Buy on ex date and you do not get the next dividend, right?"
"So...today would have been the "last day...""
"Of course, all else being equal, on ex div date shares are adjusted downward the amount of the dividend. This leads me to wonder about the "benefit" of buying a dividend."
You're right, there is no benefit. But ain't it funny how many people scramble just to get a dividend?
"Last day to receive divy is Tues."
No, it's not. That's the ex-date. The last day to buy for the dividend is Mon ... no, not Monday either. Markets are closed Monday. The last day to buy for the dividend was today.
"I purchased share on Tuesday, Feb 9, 2016. Do I receive dividend from BP?"
"I wondered if the time is based on US time or London time?"
The ex-date for the shares that trade in the US was Feb 10. For shares traded in London, the ex-date was Feb 11.
Everything clrodrick said is wrong, yet he gets five thumbs up. Everything I said is correct, and I get three thumbs down, and no doubt counting. Hilarious!
"You need to own the stock a full 3 trading days before the ex-div."
No. You have to buy a stock three days before the record date, not the ex-date. You get the dividend if you buy just one day before the ex-date.
"Ex-div is 2/16 which is a Tuesday."
No, that's the record date. The ex-date is today.
"Counting back three days leads to today (Thursday) as the needed date of record to get the dividend."
No, three trading days counts back to yesterday, Wednesday, as the last day to buy the stock and qualify for the dividend. Next Monday doesn't count because it's a holiday.
Thanks for trying, but you got everything wrong.
"February 16 is ex-dividend date I believe"
No, that's the record date. jjpcat is right -- today is the ex-date. Record date and ex-date are not the same thing.
Your explanation is incomplete. Are Tony & Bob brothers? Cousins? Neighbors? Do they even know each other? If so, did Tony ever tip off Bob, or did he razz him for being a putz?
Are you really Tony?
"as per their web site today, 02/10"
Those dates are for the Oslo Stock Exchange. Ex dates for US stock exchanges are never on the day immediately preceding the record date.
"Is the ex dividend date the 10th or the 15th?"
"The Business Wire article on the SXCP website says the 15th"
No, it doesn't. It says the record date is the 15th. It doesn't even mention the ex-date. Record date and ex-date are not the same thing.
In the past three years it hasn't even declared the first dividend of the year until the last week of February, so how can you say it should've gone ex last week?
Oh, riding a death spiral isn't necessarily the worst thing that could happen. Just imagine what it would be like to live every day in a world where Monday is only two days before Friday.
" I just bought in today, and was wondering if I will get the dividend?"
No, you won't.
"Reading the press release it sounds like I will, but maybe I'm missing something"
Yes, you're missing something. To get a dividend you have to be a shareholder of record on the record date. Today is the record date for this dividend, but to be a shareholder of record today, you would've had to buy the stock on Tuesday because you don't become a shareholder of record until your purchase trade settles, and it takes three business days for trades to settle. You won't become a shareholder of record until next Wednesday.
Your optional homework is to help osborn_07 pull his head out of his ljfhdfxg. Shouldn't take too long. All he has to do is learn to count to two backwards. ...On second thought, you might be at it a while.
"Today is the record date. The ex-dividend date is two business days prior, i.e. Monday."
Monday is two business days before today, which is Friday?
Thanks! I almost missed the Superbowl, which is two days from now, i. e. last Wednesday.
"then this is a zero-sum game"
Yes, buying a stock just to get a dividend IS a zero sum game. Many will argue that it isn't, simply on the basis that some stocks trade up a bit on the ex-date, but stocks go up and down every day without specific news, so those that trade up on an ex-date would have whether it was an ex-date or not.