Help me with stock dividends

[moneyviking]

I take my dividends in cash even though I reinvest them, that way I get to target them to specific stocks that look like better investments than others. Just allowing your dividends to automatically reinvest in the original stock is not the best use of your new money. If no stocks look particularly worthy, take the cash.

 

[Quantum Sufficit]

Wow. I love this board. Such help from everyone! Thanks all

 

[MRG]

Fiddling with this is the trick I've seen. Latest cycle said company took the average stock price of the 14 (roughly) trading days, because it resulted in a small premium vs. the closing stock price of the dividend award date (which is what your code did). The year before that they chose another window.

Doing that is not my perception so much as a stated policy and communication to shareholders to do this consistently, to encourage opting for stock dividends. For this company at least, have seen it elsewhere as well since.

It surprised me the first time I read it, didn't think it would be legal. Apparently, it is. Likely within boundaries which is why the difference is so small.

Thank you, it makes sense. I'd never heard of the practice but it's interesting to me. Yes that does make sense as an issue many times will trade at a premium prior to the record date.
Can you share an companies name that does this, or search criteria? Thanks again.

 

[Totoro]

This is the company I'm most familiar with: Accell Group. They make bicycles, based in the Netherlands (of course ..).

http://www.accell-group.com/files/3...cell Group dividend 2015 conversion ratio.pdf

Is where they describe the conversion rate in detail for 2015. I read their releases in Dutch, but it should be exactly the same in English.

Note that they announced the conversion rate on May 18th while the ex-dividend date was April 28.