Friday, February 5, 2010

When Yahoo shows stock splits, do the dividends which follow apply to the pre-split price or to the post-split

price ? For example, I note that 3M Company had a split on September 30, 2003 and that the pre and post split dividends were the same dollar amount. Does this mean that a holder of this stock received ';double'; dividends for the 2 shares he now holds ?When Yahoo shows stock splits, do the dividends which follow apply to the pre-split price or to the post-split
Depends on the timing. There will be ';ex-dividend'; dates for both the stock dividend (which is how splits are done) and the cash dividend. If the ex date for the split precedes the ex date for the cash, the cash applies to the new shares.When Yahoo shows stock splits, do the dividends which follow apply to the pre-split price or to the post-split
Stock splits mean nothing!!!!!!!!!!!! (not a thing)...........





The dividend (assuming the rate stays the same) will be prorated as the shares are split. (there is no ';dividend bonus'; just because a stock splits).





Please read 3-4 books on stock investing. It will help you get past the basics and help you avoid typical mistakes of new investors.





First thing you need to learn %26amp; understand: Stock Splits mean nothing!

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