Understanding Enterprise Bancorp's Ex-Dividend Date

On July 20, 2021, Enterprise Bancorp EBTC declared a dividend payable on September 1, 2021 to its shareholders. Enterprise Bancorp also announced that shareholders on the company's books on or before August 11, 2021 are entitled to the dividend. The stock will then go ex-dividend 1 business day(s) before the record date. The ex-dividend date for Enterprise Bancorp is set for August 10, 2021. The company's current dividend payout sits at $0.18, equating to a dividend yield of 2.27% at current price levels.

The Significance Of 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 Enterprise Bancorp's Dividend Payouts And Yields

Over the past year, Enterprise Bancorp has experienced an overall upward trend regarding its dividend payouts and a downward trend regarding its yields. Last year on August 10, 2020 the company's payout was $0.17, which has since grown by $0.01. Enterprise Bancorp's dividend yield last year was 3.3%, which has since decreased by 1.03%.
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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