Adobe Systems Incorporated Dividends
The next dividend date for Adobe Systems Incorporated has not yet been scheduled.
What is a Dividend Date
When we talk about a dividend date, we’re referring specifically to the ex-dividend date.
This is the date on which all stockholders will earn a dividend. Technically, a person needs to be the owner of a share of stock as of the night before the ex-dividend date in order to earn the dividend.
The ex-dividend date is different than the date when the dividend is issued. Although you earn a dividend on the ex-dividend date, that dividend is typically not disbursed to your account until several weeks later.
Most brokerages will automatically credit the dividend to your account once it’s issued.
Historical Dividends for Adobe Systems Incorporated (ADBE)
More About Adobe Systems Incorporated
American software company Adobe Inc. is best known for its multimedia suite of creative software, Including Photoshop, Illustrator, Acrobat Reader, and more. As the inventor of the PDF file format, the company is also credited with pioneering digital document conversion, changing how people conduct global business. Adobe is an entirely cloud-based service, allowing users to scan, edit, share, and sign documents from anywhere, revolutionizing worldwide communication and collaboration. Adobe Inc. has a market cap of $163 billion, placing it at 65 on the list of the world’s most valuable companies. The company has remained a powerhouse through strategic collaborations and partnerships, and intelligent product and marketing decisions have cemented its place in the modern business environment. The company ensures continued revenue by shifting away from perpetual software licenses to a cloud-based subscription service with approximately 26 million users worldwide.
Owning Adobe Systems Incorporated Stock on the Dividend Date
If you own Adobe Systems Incorporated stock on the ex-dividend date, then you earn the associated dividend.
Theoretically, the price of Adobe Systems Incorporated stock should go down by the amount of the dividend (in addition to any other pressures that market forces have on the price of Adobe Systems Incorporated stock).
Therefore, it is typically not expected that there is any incremental profit to be gained from buying Adobe Systems Incorporated stock right before the ex-dividend date and then selling it immediately after. It’s not like you get the Adobe Systems Incorporated dividend payout for free just by doing that since there is typically an equivalent commensurate drop in the stock price.
Owning Adobe Systems Incorporated Options on the Dividend Date
Unlike the stock price, which will normally have an abrupt decrease by the amount of the dividend on the ex-dividend date, option prices typically do not reflect the same phenomenon.
The reason is that in the time leading up to the ex-dividend date, that projected drop in Adobe Systems Incorporated stock price from the dividend is already baked into Adobe Systems Incorporated option prices.
That means the prices of call options that overlap the Adobe Systems Incorporated ex-dividend date typically go down in the period leading up to the ex-dividend date.
The prices of put options that overlap the Adobe Systems Incorporated ex-dividend date typically go up in the period leading up to the ex-dividend date.
Owners of Adobe Systems Incorporated call options do not receive the dividend, even if they own the options on the ex-dividend date. Owners of Adobe Systems Incorporated put options are not responsible to pay the dividend, even if they own the options on the ex-dividend date.
Learning More Adobe Systems Incorporated Dividends
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