The UK’s biggest pet supplies retailer, this chain sells foods, bedding, toys and pets themselves.
The price has recently been going up for this
Would it be safe to say it’s because the ex dividends date is today?
I’m assuming this drop tomorrow?
Ex dividend date is actually tomorrow, but yes, it will decrease.
Sorry yes that what I meant
I’m guessing it would make no sense to me to buy now and then sell the day after to get the dividends
I’ve had my eye on this for a while just never had the right price to buy it
Since the share price is expected to decrease by the amount of the dividend, I can’t see any real benefit in buying and selling afterwards anyway?
Another question would this drop again when the day after the dividend is paid out also?
This is what is called a dividend capture strategy and is very difficult to pull off. When/If the market is acting rationally the value of Pets and Home should be worth the same as the day before ex dividend - the value of the dividend as they have just paid out a load of cash. This doesn’t always happen or sometimes it’s drops but not by as much. It’s risky as you could end up holding a stock you have no interest in.
Not due to the dividend being paid. The ex-dividend date is when they commit to the payments, when it actually gets paid won’t affect the price.