Do high dividend stocks usually drop much after dividend payout day?

Asked 4 years ago

How are they affected, if at all? How long does it take for the effect to diminish and go back to normal?

Date of dividend payment Downward trend High dividend stocks

Osasere Okunloye

Thursday, June 24, 2021

Yes, but just for the short term. After ex-dividend day, company shares drop by the amount of the expected dividend or distribution to be paid. Some dividends are paid out as stock, not as a cash. They also affect the share price negatively, but only in the short term. After few months, everything goes back to normal.