On December 1, 2020, NexPoint Strategic (NYSE:NHF) announced shareholders can expect to receive a dividend payable on December 31, 2020. The stock will then go ex-dividend 1 business day(s) before the record date. The ex-dividend date for NexPoint Strategic is set for December 21, 2020. The company's current dividend payout sits at $0.05, equating to a dividend yield of 6.14% at current price levels.

The Significance Of 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. Most ex-dividend dates operate on a quarterly basis.

NexPoint Strategic's Dividend History

Over the past year, NexPoint Strategic has seen its dividend payouts and yields descend downward overall. Last year on August 24, 2020 the company's payout sat at $0.1, which has since decreased by $0.05. NexPoint Strategic's dividend yield last year was 12.47%, which has since declined by 6.33%.
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.

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