Woolworths shareholders have something to look forward to today.
The post The final Woolworths (ASX:WOW) dividend will be paid today. Here’s what you need to know appeared first on The Motley Fool Australia. –
The Woolworths share price closed at $39.70 on Thursday, down around 5.5% since its late-August highs of $42.3.
What happened to the Woolworths share price?
Market moving headlines such as China’s Evergrande crisis, tumbling iron ore prices, rising inflation and United States’ debt ceiling has weighed on the broader market and investor sentiment.
As such, the ASX 200 has slipped 4.8% since mid-August all-time highs of 7,633.
Its full-year results highlighted a 5.7% increase in group sales to $67.278 million, a 22.9% jump in net profit after tax to $1.972 million and a final dividend of 55 cents.
The overall Woolworths dividend for FY21 came in at 108 cents per share, up 14.9% on FY20.
Looking ahead, the company said that it experienced strong sales growth in the first eight weeks of FY22, increasing 4.5% against the prior corresponding period.
It flagged that Big W sales have been impacted by COVID-19 restrictions, and expects earnings before interest and taxes (EBIT) in the first half to be materially below 1H FY21.
Group COVID-related costs were also creeping up slightly, increasing to 0.5% of sales in the first eight weeks of FY22.
What else do investors need to know about the Woolworths dividend?
The default option for dividends is a cash payment.
But for investors that elected to participate in Woolworths’ dividend reinvestment plan, the new shares will be priced at $39.63.
The new shares are expected to be issued to participants on Friday.
Should you invest $1,000 in Woolworths right now?
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Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.