Analyzing First Trust High Income's Ex-Dividend Date

On February 22, 2021, First Trust High Income FSD announced shareholders can expect to receive a dividend payable on March 15, 2021. The stock will then go ex-dividend 1 business day(s) before the record date. First Trust High Income has an ex-dividend date set for for March 1, 2021. The company's current dividend payout is $0.11, which equates to a dividend yield of 8.81% at current price levels.

What Are 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.

Understanding First Trust High Income's Dividend Performance

Over the past year, First Trust High Income has experienced no change regarding its dividend payouts and a downward trend regarding its yields. Last year on November 2, 2020 the company's payout was $0.11, which has returned to its value today. First Trust High Income's dividend yield last year was 9.52%, which has since decreased by 0.71%.
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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