Questions tagged [dividends]

This tag is to be used for any dividends related question. When appropriate it should be accompanied by country tag.

Filter by
Sorted by
Tagged with
0 votes
1 answer
76 views

What is the value of a dividend stock outside of its distribution

I have a fairly broad question about the value of dividend stocks in a general sense. Principally, as a thought expirment, I'm considering a case where the broad market doesn't exist and the only ...
1 vote
2 answers
71 views

Why is a share repurchase considered a payout to investors?

I have read many financial analysis articles that seem to calculate a company's payouts to its shareholders like this: total payout = cash dividends + share repurchases I can easily see why a cash ...
0 votes
1 answer
97 views

How could someone pester company managers to raise its dividend? [duplicate]

I'm reading The Intelligent Investor, and quote: Graham became a master at researching stocks in microscopic, almost molecular, detail. In 1925, plowing through the obscure reports filed by oil ...
0 votes
1 answer
51 views

How do I report stock dividends for US nonresident taxes on my income tax return?

Foreigner filing U.S. taxes with form 1040-NR. I own stock of a U.S. company in a foreign brokerage account and had U.S. tax withheld from dividends based on form W-8 BEN. How do I report this income ...
0 votes
1 answer
902 views

VUSA vs VUAA - Distributing seemingly better than

VUSA (IE00B3XXRP09) and VUAA (IE00BFMXXD54) should both be equally "good". VUAA is for you if you want to automatically reinvest its dividends. I get that... Nevertheless, if I look at their ...
1 vote
1 answer
35 views

Dividend Coverage Ratio and Preferred Stock

I am looking at investing in a few companies which offer preferred stock. Do their dividend coverage ratios factor in the dividends being paid to preferred shareholders? If not, how can I find or ...
0 votes
2 answers
54 views

How does dividend tax between countries work?

I am investing through degiro in stocks from usa, europe etc. I have noticed that there is a 30% deducted from any us dividends and 15% from europe. Why is there a need for the platform to tax the ...
2 votes
2 answers
196 views

Why does the price of a stock really drop on ex-dividend date? [duplicate]

I know that the price of a stock on the ex dividend is supposed to drop by the amount of the dividend. What i don't understand fully is why it happens. I have seen many answers/articles/books etc that ...
11 votes
5 answers
760 views

How do U.S. stock exchanges specifically account for dividends and ex-dividend dates?

At another question about ex-dividend dates and withholding taxes, an answer from Bob Baerker says: Stock exchanges reduce share price by the exact amount of the dividend on the ex-dividend date [...
0 votes
0 answers
105 views

Non-resident alien: Why did I pay no tax on dividend income? [duplicate]

I have a US stock brokerage account, and I am a non-resident alien. From my understanding, dividend income of non-resident aliens is taxed at a flat 30% rate (assuming no applicable tax treaties). I ...
0 votes
1 answer
109 views

What is a reasonable ROI on friends & family capital loan for startup venture?

Every investor obviously interested in max ROI but what is a realistic ROI an investor would seek on a capital loan for startup venture? What is a reasonable duration for that receiving back the ...
9 votes
5 answers
6k views

Why is a stock dividend considered a dividend? What makes it different from a stock split?

I've been reading Principles of Corporate Finance by Brealey, Myers and Allen, but unfortunately they did not cover stock dividends. From what I understand, by paying a dividend, a company can ...
2 votes
2 answers
109 views

Are companies allowed to pay out more dividends than their retained earnings?

Assume that a corporation was formed three years ago with $500,000 in starting capital. In each of the first three years, it earned $100,000 and did not pay any dividends. It now has $300,000 in ...
5 votes
2 answers
197 views

Should everyone who receives dividend income fill out a W-4 form reporting it to their employer?

My friend mentioned to me that he got dinged by the IRS for underpayment of estimated tax. Apparently the reason that his employer didn't withhold enough tax from his paycheck is that he received ...
0 votes
1 answer
194 views

Calculating Dividends paid out and Div ratio from finance sheets

So I was trying to calculate the dividends a company paid out from the balance / income sheet and the retained earnings (the delta between this and last period). I thought the dividends paid could be ...
1 vote
1 answer
256 views

How can I view the sum of all dividends received in one given year on Mint?

How can I view the sum of all dividends received in one given year on Mint? This can't be done in the transactions tab according to https://help.mint.com/Accounts-and-Transactions/888963121/Why-can-t-...
4 votes
1 answer
312 views

What are "Tax Relief Fees" on American Depositary Receipt (ADR) dividends?

I noticed that a "Tax Relief Fee" is usually deducted from ADR dividends. Consider AXA ADR's (OTC: AXAHY) 2020 cash dividend announcement, which includes a "Tax Relief Fee" of $0....
1 vote
2 answers
247 views

Does 401k contribution to index fund pay dividends?

My 401k fund has an option for investment in S&P 500 index fund, however the investment doesn't come with any dividend yield. S&P 500 index funds such as VOO, SPY come with a dividend yield. ...
0 votes
1 answer
150 views

Finding the share price of a company couple years from now using the dividend discount model (practice)

A company is growing at a constant rate of 8%. Last week it paid a dividend of $3.00. If the required rate of return is 15%, what is the price of the share three years from now? My initial thought was ...
1 vote
1 answer
115 views

What kind of stocks should I invest in for high dividend yields [closed]

I want to know what kind of stocks are good for constant returns, the price of the stock is not my main interest, what I am interested in is monthly/quarterly returns for a stable income source. Also ...
0 votes
1 answer
120 views

Why don't I see any dividends in my Fidelity Personal Account?

I have two accounts in Fidelity: Account A: Personal account Account B: Rollover IRA account (Rolled over from former 401k accounts) I have purchased a specific Fidelity Mutual Fund through both ...
1 vote
0 answers
36 views

Individual tax from dividend of Georgian Virtual Zone Company

I am programmer. I would like to open Company in Virtual Zone of Georgia. I will be tax resident of Georgia. I do not know what tax should I pay. I will have only clients out of Georgia. So in my ...
-1 votes
2 answers
88 views

Where can I see my interest and dividends earned as well as net capital gain/loss for my Fidelity HSA last year?

As I was a tax resident of California in 2021, I must report the interest and dividends earned as well as net capital gain/loss for my HSA account, which is managed by Fidelity: Where can I see my ...
5 votes
2 answers
796 views

Does the term "ordinary dividends" include qualified dividends?

There seems to be some inconsistency in the usage of the term "ordinary dividends". (I'm considering the United States tax system.) Most online sites seem to define the terms "ordinary ...
0 votes
1 answer
72 views

Is it possible for the dividend rate to decrease at a constant rate to the future?

I came across the following question; Mayfair corporation is expected to pay 40% dividends to its shareholders as its next dividend. However, the company announces that it is not expecting to pay a ...
2 votes
3 answers
295 views

How to hedge a long stock position that does not have options

I am sometimes tempted by the juicy dividends of some Canadian stocks because dividends are taxed favorably by CRA. One such company is RSI Problem is, I would like to protect the long position from ...
0 votes
0 answers
20 views

What's the best and fastest way to close a Private Limited company in India?

I am winding down my company in India (Incorporated 2010) as I have moved out of the country. There is very little income and expense monthly. Only 2-3 employees remaining. There is about INR 7,500,...
4 votes
1 answer
80 views

Do I receive dividend if my stocks are assigned on ex-dividend date?

I owned a stock and sold a call option on it. On the Ex-dividend date the option was assigned at pre-market hours and stocks were sold at pre-market. Am I still entitled to receive dividends because I ...
0 votes
1 answer
116 views

UK: How much tax would I pay on my income?

I am a director of a limited company in the UK and I am the only employee. If I paid myself a salary of £100k and on top of that I paid myself £100k in dividends (post corporate tax), how much tax ...
0 votes
2 answers
54 views

Why people prefer VRE instead of HHL.B with higher dividend yield

Good day , I am new to stock market , so I am sorry in advance for my poor knowledge. My Canadian financial advisor told me that secure way to get dividends from stocks is to buy dividend ETFs ...
-1 votes
1 answer
80 views

Who is the counterparty on cash dividends for listed stock?

Who is the counterparty on dividend receivables and payables?
7 votes
1 answer
2k views

What does "GILEAD SCIENCES INC REV NRA W/H ,03/30" mean?

What does the GILEAD SCIENCES INC REV NRA W/H ,03/30 mean in my broker's statement? I mean, the INC REV NRA W/H ,03/30 part. Is that a dividend?
1 vote
1 answer
44 views

Mutual Fund: Dividends vs. Distributions

Take an actively managed mutual fund that trades stocks including dividend-paying ones. The fund can make money in 2 ways: Receive dividends from dividend-paying stocks Sell stocks above cost for a ...
231 votes
22 answers
92k views

If a stock doesn't pay dividends, then why is the stock worth anything?

I read somewhere that companies are not required to pay dividends to shareholders (this is correct, yes?). If so, then if company A never pays dividends to its shareholders, then what is the point ...
-1 votes
1 answer
61 views

Canadian taxes: Is it possible to declare dividends for a small business corporation with no other income other than investments (passive income)?

I have a small business that is now dormant since I switched to full time employment This is a small inc created before the professional corporations were defined by the Canada Revenue Agency (not ...
1 vote
2 answers
88 views

Preferred Stocks: Why do you have to sell the detachable warrant to receive dividend?

I'm reading about detachable warrants and it says that: Because they are attached to preferred stock, investors may not be able to receive dividends for as long as they hold the warrants. (https://...
0 votes
2 answers
140 views

Does it ever make sense for a non-US investor to buy US stocks for the dividend?

Given there's a 30% dividend withholding tax, could it still make sense to buy US stocks for the dividend? Given US dividend-paying companies usually have a longer track record of dividend payments ...
1 vote
1 answer
36 views

Is there a way to search for upcoming Dividends by type?

I was searching for dividends and can see the calendar for most of symbols. However, I bumped into $KWEB and they declared on Dec-28-2021 and Ex-Div date was Dec-29-2021 and Pay Date was Dec-31-2021. ...
3 votes
5 answers
5k views

How does historical data get adjusted for dividends, exactly?

I have read the questions and answers about historical data from sites like Google and Yahoo! Finance (which has been dis-improved, imo, in 2016.) My question is this: Exactly how are closing price ...
1 vote
1 answer
96 views

Intrinsic value of a stock which pays out dividend

I want to find the intrinsic value of a stock which pays out dividend but not a significant amount. In particular, is there a way to incorporate the dividend payout in the discounted cash flow ...
0 votes
3 answers
102 views

Do dividend taxes affect how much a stock price will fall on the ex-dividend date?

In theory, when a company pays out $1 in cash dividends per share, its stock price will fall by $1 due to the cash dividend. Does this relationship change when investors have to pay taxes on the ...
1 vote
2 answers
336 views

How can Canadians recover U.S. withholding taxes on U.S. stock dividends?

I'm Canadian, but I like U.S. ETFs because there's more variety than Canadian ETFs. What means "recoverable" below? 100% fully refundable to me? How do I recover U.S. withholding taxes? ...
2 votes
2 answers
57 views

What are the accounting rules around payment of dividends for loss making companies (VOD)

Vodafone (LSE:VOD) has been loss making and has negative retained earnings (Accumulated losses). What are the accounting rules that allow Vodafone to pay a dividend - From the UK Government's website: ...
7 votes
4 answers
2k views

Minimizing taxes on dividends

I own stocks and ETFs in my taxable brokerage account at Vanguard, and these securities generate taxable dividend income every year, which is a problem. How do I fix it? It was a bad idea on my part: ...
0 votes
1 answer
60 views

Why ETF Actual Dividend yield differs after only 3 months

Will take IDVY.L as an example, dividends paid per share in September - 26.74p (30.91¢), projected dividends in December - 2.004p (2.35¢) - 13 times less. Another example - IUKD - 3 times difference ...
1 vote
3 answers
182 views

Why are dividends significantly smaller than Stock price itself?

Looking dividends such as Microsoft: https://www.microsoft.com/en-us/Investor/dividends-and-stock-history.aspx Per stock pays 0.6 USD whilst if I need to buy one stock I'll pay ~300 USD. Why Dividend ...
0 votes
2 answers
122 views

Does all stock have dividends? and what is the most intelligible definition and concept of dividend?

I keep reading about the stock dividend and cant figure out in my head how it works (Im dumb) can someone enlighten me about how can I fully understand its concept like suggesting some non complicated ...
2 votes
2 answers
138 views

Why [qualified] dividends are taxed differently from current income?

I am wondering what was the motivation to decouple taxation (USA) of short-term gains/income from dividends in 2003. Before 2003, dividends were mostly taxed as current income, at a significantly ...
0 votes
1 answer
94 views

Why the tax on stocks dividends differs between the types of companies?

Why some types of companies, like a limited partnership LP deduct more percentage on the dividends (for me it was 37%) than the regular percentage (30% for inc,lmt for example)?
5 votes
3 answers
681 views

When is it worth it to buy dividend-bearing stocks?

TLDR: Is it ever worth investing in stocks to make profit off of dividends? I did some research on dividends. It seems like it has a reputation for stable income, irrespective of the market ...

1
2 3 4 5
12