Dow Inc Dividends
The next dividend date for Dow Inc 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 Dow Inc (DOW)
More About Dow Inc
Dow Inc., through its subsidiaries, provides various materials science solutions for packaging, infrastructure, mobility, and consumer applications in the United States, Canada, Europe, the Middle East, Africa, India, the Asia Pacific, and Latin America. The company operates through Packaging & Specialty Plastics, Industrial Intermediates & Infrastructure, and Performance Materials & Coatings segments. The Packaging & Specialty Plastics segment provides ethylene, propylene, polyethylene, and aromatics products; and other ethylene derivatives, such as polyolefin elastomers, ethylene vinyl acetate, and ethylene propylene diene monomer rubber. The Industrial Intermediates & Infrastructure segment offers polyurethanes, including propylene oxide, propylene glycol, and polyether polyols; aromatic isocyanates and fully formulated polyurethane systems; and chlor-alkali and vinyl comprising chlorine and caustic soda, ethylene dichloride, and vinyl chloride monomer; and construction chemicals consisting of cellulose ethers, redispersible latex powders, and acrylic emulsions, as well as coatings, adhesives, sealants, elastomers, and composites. The Performance Materials & Coatings segment provides architectural paints and coatings, and industrial coatings; and acrylics-based building blocks, silicon metals, siloxanes, and intermediates. The company also engages in the property and casualty insurance, as well as reinsurance business. Dow Inc. was founded in 1897 and is headquartered in Midland, Michigan.
Owning Dow Inc Stock on the Dividend Date
If you own Dow Inc stock on the ex-dividend date, then you earn the associated dividend.
Theoretically, the price of Dow Inc stock should go down by the amount of the dividend (in addition to any other pressures that market forces have on the price of Dow Inc stock).
Therefore, it is typically not expected that there is any incremental profit to be gained from buying Dow Inc stock right before the ex-dividend date and then selling it immediately after. It’s not like you get the Dow Inc dividend payout for free just by doing that since there is typically an equivalent commensurate drop in the stock price.
Owning Dow Inc 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 Dow Inc stock price from the dividend is already baked into Dow Inc option prices.
That means the prices of call options that overlap the Dow Inc ex-dividend date typically go down in the period leading up to the ex-dividend date.
The prices of put options that overlap the Dow Inc ex-dividend date typically go up in the period leading up to the ex-dividend date.
Owners of Dow Inc call options do not receive the dividend, even if they own the options on the ex-dividend date. Owners of Dow Inc put options are not responsible to pay the dividend, even if they own the options on the ex-dividend date.
Learning More Dow Inc Dividends
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