Why did the Altium share price lad the ASX 200 today?

The Altium Limited (ASX: ALU) share price had a relatively poor day of trade on Monday.

The electronic design software company’s shares ended the session almost 1% lower at $35.25.

Why did the Altium share price drop on Monday?

There were a couple of catalysts for the weakness in the Altium share price on Monday.

The first was broad weakness in the tech sector following a disappointing end to last week on Wall Street’s NASDAQ index.

The tech-focused index ended with a 1.3% decline amid rate hike concerns and current futures contracts are pointing to only a very modest recovery on Monday night.

As a result, the S&P/ASX All Technology Index fell 0.8% this afternoon, compared to a 0.35% gain by the benchmark ASX 200 index.

What else was dragging on its shares?

Also dragging on the Altium share price was the fact that it was trading ex-dividend this morning.

Last month, the company released its full year results and revealed strong revenue and profit growth for FY 2022.

This allowed the Altium board to declare a fully franked final dividend of 26 cents per share, bringing its full year dividend to 47 cents per share. This was an increase of 18% year over year.

This morning, its shares went ex-dividend, which means that the rights to this final dividend stay with the seller and don’t transfer to the buyer of shares between now and the payment date. In light of this, its shares have fallen to reflect this.

Eligible shareholders won’t have long to wait until they receive this dividend payment. Altium is planning to pay shareholders before the end of the month on 27 September.

The post Why did the Altium share price lad the ASX 200 today? appeared first on The Motley Fool Australia.

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More reading

• Up 15% in a month, is ASX 200 tech share Altium on the comeback trail?
• These ASX 200 shares are going ex-dividend on Monday
• Experts name 3 ASX growth shares to buy in September
• ASX 200 reporting season weekly wrap: Top risers and fallers
• Could ASX 200 tech share Altium be in for another takeover approach?

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