LYFT Inc Dividends
The next dividend date for LYFT 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 LYFT Inc (LYFT)
More About LYFT Inc
Lyft, Inc. operates a peer-to-peer marketplace for on-demand ridesharing in the United States and Canada. The company operates multimodal transportation networks that offer access to various transportation options through the Lyft platform and mobile-based applications. Its platform provides a ridesharing marketplace that connects drivers with riders; Express Drive, a car rental program for drivers; and a network of shared bikes and scooters in various cities to address the needs of riders for short trips. The company was formerly known as Zimride, Inc. and changed its name to Lyft, Inc. in April 2013. Lyft, Inc. was incorporated in 2007 and is headquartered in San Francisco, California.
Owning LYFT Inc Stock on the Dividend Date
If you own LYFT Inc stock on the ex-dividend date, then you earn the associated dividend.
Theoretically, the price of LYFT 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 LYFT Inc stock).
Therefore, it is typically not expected that there is any incremental profit to be gained from buying LYFT Inc stock right before the ex-dividend date and then selling it immediately after. It’s not like you get the LYFT Inc dividend payout for free just by doing that since there is typically an equivalent commensurate drop in the stock price.
Owning LYFT 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 LYFT Inc stock price from the dividend is already baked into LYFT Inc option prices.
That means the prices of call options that overlap the LYFT 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 LYFT Inc ex-dividend date typically go up in the period leading up to the ex-dividend date.
Owners of LYFT Inc call options do not receive the dividend, even if they own the options on the ex-dividend date. Owners of LYFT Inc put options are not responsible to pay the dividend, even if they own the options on the ex-dividend date.
Learning More LYFT Inc Dividends
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