NXP Semiconductors NV Dividends
The next dividend date for NXP Semiconductors NV 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 NXP Semiconductors NV (NXPI)
More About NXP Semiconductors NV
Have you ever used your phone to pay for goods or services? Then you probably owe that comfort to NXPI. The semiconductor giant co-invented NFC technology in partnership with Sony. When this innovative company is not finding creative ways to disrupt the semiconductor industry it focuses on offering tech solutions to the autonomous driving, industrial, mobile, and IoT market segments.
Owning NXP Semiconductors NV Stock on the Dividend Date
If you own NXP Semiconductors NV stock on the ex-dividend date, then you earn the associated dividend.
Theoretically, the price of NXP Semiconductors NV stock should go down by the amount of the dividend (in addition to any other pressures that market forces have on the price of NXP Semiconductors NV stock).
Therefore, it is typically not expected that there is any incremental profit to be gained from buying NXP Semiconductors NV stock right before the ex-dividend date and then selling it immediately after. It’s not like you get the NXP Semiconductors NV dividend payout for free just by doing that since there is typically an equivalent commensurate drop in the stock price.
Owning NXP Semiconductors NV 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 NXP Semiconductors NV stock price from the dividend is already baked into NXP Semiconductors NV option prices.
That means the prices of call options that overlap the NXP Semiconductors NV ex-dividend date typically go down in the period leading up to the ex-dividend date.
The prices of put options that overlap the NXP Semiconductors NV ex-dividend date typically go up in the period leading up to the ex-dividend date.
Owners of NXP Semiconductors NV call options do not receive the dividend, even if they own the options on the ex-dividend date. Owners of NXP Semiconductors NV put options are not responsible to pay the dividend, even if they own the options on the ex-dividend date.
Learning More NXP Semiconductors NV Dividends
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