Investors Can Still Buy BPCL Shares For Rs. 58/Share Dividend As Stock To Turn Ex Dividend On September 16

What is ex-dividend date?

Ex-dividend date like ex-bonus date in a usual scenario is set one day prior to the record date. Ex-dividend can also be understood as a stock which trades without the value of the next dividend pay-out. So, consequently ex-dividend date or ex-date is the date or day when the stock begins to trade without the value of its next dividend payment.

While record date is the cut-off date which the company sets to determine shareholders’ eligibility to receive the next dividend. Now, in a case if you purchase the stock on or after the ex-dividend date, you will not be eligible to receive the next dividend payment. However, if you hold the shares of BPCL as on the record date or place the order for the same before the ex-date you will be entitled to receive the dividend pay-out.

What it means for investors in BPCL and those willing to bet on the stock of BPCL?

So, if you are an existent investor or shareholder in BPCL, your BPCL holding as reflecting in your demat account as on the record date., will make you eligible for the dividend. Besides, fresh or new investors who want to tap the momentum in the stock being a ‘divestment candidate’ can do so now for an additional dividend of Rs 58 per share besides capital appreciation going ahead.

When will dividend money be credited into BPCL shareholders’ bank account?

Also note dividend money shall be credited into eligible shareholders’ demat-linked bank account on the dividend payment date which is usually 30-45 days after the record date.

Recourse in a case when dividend is not received even after the dividend payment date has reached

In a case when despite the eligibility you do not get the dividend pay-out, you need to contact the companies’ registrar and details of the same can be sourced from both the NSE and BSE website. On NSE it is available under the tab of ‘company information, while in the case of BSE it is shown under ‘‘corp information’ tab. Note here BPCL while announcing final dividend said the final dividend would be paid within 30 days from the date of its declaration at the AGM.

Disclaimer:

Note this story should not be construed as a recommendation to buy ‘BPCL’ scrip, here we are just stressing on the idea of ex-dividend and how it works. Neither the company nor the author will be responsible for any losses incurred on an investment decision taken considering this report.