On August 5, 2021, Switch (NYSE:SWCH) announced shareholders can expect to receive a dividend payable on August 31, 2021. The stock will then go ex-dividend 1 business day(s) before the record date. Switch, whose current dividend payout is $0.05, has an ex-dividend date set at August 18, 2021. The payout equates to a dividend yield of 1.03% at current price levels.

Ex-dividend dates signal when company shares cease to trade with their current dividend payouts. There is a small intermission period before companies announce new dividends. 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.

Over the past year, Switch has seen its dividend payouts remain the same and its yields trend downward. Last year on August 17, 2020 the company's payout sat at $0.05, which has returned to its value today. Switch's dividend yield last year was 1.08%, which has since decreased by 0.05%.
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.