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#1 is there any way to screen for stocks that are about to pay dividens, so that you could purchase the shares by the day necessary to recieve the dividen?
Such as I noticed for instance a stock I own GG today said that a dividen of .015 will be paid for people who own the stock on oct 21, and will be paid on oct 31.
Is there a way to find ALL the stocks issuing dividens in the near future and get in before that date?
For instance... buy a ton of shares of gg on oct 21.. sell them on oct 22. Collect dividen on oct 31.. does that work? Or would you have to hold it until oct 31?
Could a trading strategy revolve around this completly? I mean the price may drop some between oct 21 and oct 22.. but probablly not a lot.. especially for higher dividen paying stocks.. you could make a killing buying for that one day, then selling to collect the dividens... thoughts?
If there is a way to screen for these stocks let me know, thanks
The problem is, is that the share price automatically adjusted downwards, whether it's a cash or stock dividend. When Microsoft gave out that $3 a share dividend, it's stock price was adjusted 3 dollars downward automatically -- by the market. Just the way the rules are. Same way with stocks. If you get a 10% stock dividend (that is 1 share more for every 10 you own) the stock price will be adjusted downward by 10%.
Cash and stock dividends have different ex-dividend dates. Cash is usually 2 days before the record date...stock dividends work differently..you generally have to hold your stock until the day after the stock dividend is paid.
How this all applies to the cash dividend of IDWS (PR coming out for it tomorrow I think) I'm not sure. Stock price is around .40, but they could be offering a dividend of around a buck. Kinda hard to knock the price of the stock lower than zero..of course it should jump up there once the divvy is finally announced.
Of course, someone will prolly waltz in here and correct me on a few things..
http://ex-dividend.com/ - I heard someone recommend this site on dividends, but I've not looked at it too much.
Machiavelli
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Dividends aren't really worth it except to use as a technical indicator (though it's a fundie sign) ...
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