Benzinga | Nov 25, 2020 12:17PM EST

Understanding The Scotts Miracle Gro's Ex-Dividend Date

On November 5, 2020, The Scotts Miracle Gro (NYSE: SMG) announced shareholders can expect to receive a dividend payable on December 10, 2020. The stock will then go ex-dividend 1 business day(s) before the record date. The ex-dividend date for The Scotts Miracle Gro will be on November 27, 2020. The company's current dividend payout is at $0.62. That equates to a dividend yield of 1.52% at current price levels.

What Are Ex-Dividend Dates?

An ex-dividend date signals when a company's shares cease to trade with its current dividend payout. There is a small intermission period before the company announces a new dividend. Usually, a company's ex-dividend date falls one business day before its record date. Investors should keep this in mind when purchasing stocks because buying them on or after ex-dividend dates does not qualify them to receive the declared payment. Newly declared dividends go to shareholders who have owned that stock before the ex-dividend date. Typically, companies will announce and implement new dividend yields on a quarterly basis.

Understanding The Scotts Miracle Gro's Dividend History

Over the past year, The Scotts Miracle Gro has seen its dividend payouts climb upward and its yields trend downward. Last year on February 24, 2020 the company's payout sat at $0.58, which has since increased by $0.04. The Scotts Miracle Gro's dividend yield last year was 2.14%, which has since decreased by 0.62%.

Companies use dividend yields in different strategic ways. Some companies may opt to not give yields altogether to reinvest in themselves. Other companies may opt to increase or decrease their yield amounts to control how their shares circulate throughout the stock market.

To read more news on The Scotts Miracle Gro click here.