Domonies Dividend Payouts

[Charleslype]

Hey Guys, I just had a quick question about dividend payouts. I recently bought DPZ which on friday reported a special $3/share dividend. I use Wells Fargo to trade online on my own. I was just wondering how I will receive the dividend payout and when it would be in my account? Also, since the dividend was approved by the board on Friday, does that mean that it is all ready issued? If I sell my shares tomorrow, will i still receive the dividend?

[Charlesmr]

Looking; they have not set a declare date as of yet. So no the dividend has not been paid out. To qualify for the dividend you must own the share on the Ex-Dividend date. Which has not been determined as of yet. With your account does it take at least 3 business days to settle a trade? Most of them do, but in the strange case yours does not then you must be the share holder on the Date of Record which is 2 days past the EX-Dividend Date.

May be a awhile as the last time Domino's paid a dividend was May 7th 2007.

[CharlesTag]

Ex-dividend date - "the first date following the declaration of a dividend on which the buyer of a stock is not entitled to receive the next dividend payment."
http://en.wikipedia.org/wiki/Ex-dividend_date

Date of Record or Record Date - "The date established by an issuer of a security for the purpose of determining the holders who are entitled to receive a dividend or distribution."
http://www.investopedia.com/terms/r/recorddate.asp

Dissecting Declarations, Ex-Dividends And Record Dates...
http://www.investopedia.com/articles/02/110802.asp#axzz1ph7tg3JN

[CharlesRaw]

You just need to buy BEFORE the ex-dividend date to get the dividend. And because of the 3-day settlement, you can sell first thing in the morning ON the ex-dividend date and you'll still be a holder of record on the record date 2 days later (meaning you'll still get the dividend).

[CharlieMt]

Often the dividend will be applied to whatever setting or preferred method you have. With the broker(s) I choose, the dividends are automatically reinvested for those that apply and others are automatically deposited in a bank account. You will often have options.