Many investors might be looking forward to the next dividend payment from the Washington H Soul Pattinson and Co Ltd (ASX: SOL) share price. Not because this ASX conglomerate is about to pay out a monstrous dividend. But because 2022 will mark the 22nd year in a row that ‘Soul Patts’ shares will pay out a dividend that has been higher than the previous year’s payment. If all goes well, of course. Such a streak is unmatched on the ASX.
As it happens, Soul Patts’ first dividend of the year will hit investors’ bank accounts next month, on 13 May, to be precise. But if an investor wants to be in line to receive this payment, they had better be fast. That’s because Soul Patts trades ex-dividend tomorrow. That in effect means that any shareholder who owns Soul Patts shares as of today is eligible for this payment. But come tomorrow, new shareholders will miss out this time.
When a share trades ex-dividend, we normally see the value of the dividend leave the company’s share price for this reason. So don’t be surprised if we see a share price dip for Soul Patts in tomorrow’s trading.
Soul Patts shares primed to pay dividends
So what can shareholders expect? Well, this payment will be the company’s interim dividend for FY 2022. It will be worth 29 cents a share, and come with full franking credits. Twenty-nine cents a share is a healthy 11.5% increase on last year’s interim dividend of 26 cents per share. Shareholders will have to receive this dividend in cash seeing as Soul Patts doesn’t currently offer a dividend reinvestment plan (DRIP).
Soul Patts’ last dividend was the final payment for FY 2021, which came to 36 cents per share. Putting this payment with the one investors will receive next month would give Soul Patts shares a forward yield of 2.25% on the last Washington H Soul Pattinson share price.
The post Keen to bag the Washington H Soul Pattinson dividend? Read this appeared first on The Motley Fool Australia.
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Motley Fool contributor Sebastian Bowen owns Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns and has recommended Washington H. Soul Pattinson and Company Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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