Zoom Video Communications Inc Dividends
The next dividend date for Zoom Video Communications 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 Zoom Video Communications Inc (ZM)
More About Zoom Video Communications Inc
The COVID pandemic changed the way we work and Zoom was the key that allowed the world to work from the comfort of their home. With its intuitive interface and reliable technology, Zoom is the perfect tool for connecting with colleagues, clients, and loved ones from anywhere in the world. The company sets itself apart from competitors by offering unmatched streaming stability at scale.
Owning Zoom Video Communications Inc Stock on the Dividend Date
If you own Zoom Video Communications Inc stock on the ex-dividend date, then you earn the associated dividend.
Theoretically, the price of Zoom Video Communications 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 Zoom Video Communications Inc stock).
Therefore, it is typically not expected that there is any incremental profit to be gained from buying Zoom Video Communications Inc stock right before the ex-dividend date and then selling it immediately after. It’s not like you get the Zoom Video Communications Inc dividend payout for free just by doing that since there is typically an equivalent commensurate drop in the stock price.
Owning Zoom Video Communications 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 Zoom Video Communications Inc stock price from the dividend is already baked into Zoom Video Communications Inc option prices.
That means the prices of call options that overlap the Zoom Video Communications 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 Zoom Video Communications Inc ex-dividend date typically go up in the period leading up to the ex-dividend date.
Owners of Zoom Video Communications Inc call options do not receive the dividend, even if they own the options on the ex-dividend date. Owners of Zoom Video Communications Inc put options are not responsible to pay the dividend, even if they own the options on the ex-dividend date.
Learning More Zoom Video Communications Inc Dividends
You can contact us any time if you would like to ask questions about Zoom Video Communications Inc dividends or anything else related to the stock market.