Insights

Why is the WAM Capital share price sliding today?

WAM shares are being dragged down after trading ex-dividend today.
The post Why is the WAM Capital share price sliding today? appeared first on The Motley Fool Australia. –

You may be curious as to why the WAM Capital Limited (ASX: WAM) share price is heading south today.

During early morning trade, the investment company’s shares are down 4.79% to $1.99.

Shareholders lock in the WAM interim dividend

While the S&P/ASX 200 Index (ASX: XJO) is also treading lower today, the WAM share price is trading ex-dividend.

This follows the release of the company’s half-year result in February, reporting growth across key financial metrics.

Despite registering a robust scorecard, the board opted to maintain its upcoming interim dividend over the prior corresponding period.

Typically, one business day before the record date, the ex-dividend date, is when investors must have purchased shares. If the investor buys WAM shares after this date, the dividend will go to the seller.

When can shareholders expect to be paid?

For those eligible for WAM’s interim dividend, shareholders will receive a payment of 7.75 cents per share on 17 June. The dividend is fully franked at a corporate tax rate of 30%, which means investors will receive tax credits.

In addition, investors can elect for the dividend reinvestment plan (DRP) which will add a portion of shares to their portfolio instead, based on a 10-day volume-weighted average price.

There is a 2.5% DRP discount rate and the last election date for shareholders to opt in is 9 June.

WAM share price summary

Since the beginning of 2022, WAM shares have lost 10% on the back of weakened investor sentiment.

For context, the ASX 200 benchmark index is down around 3% over the same timeframe.

It’s worth noting that the company’s shares reached a 52-week low of $1.98 today.

Based on today’s price, WAM commands a market capitalisation of roughly $2.26 billion and has a trailing dividend yield of 7.67%.

The post Why is the WAM Capital share price sliding today? appeared first on The Motley Fool Australia.

Should you invest $1,000 in WAM Capital right now?

Before you consider WAM Capital, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and WAM Capital wasn’t one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of January 13th 2022

More reading

Hoping to secure the next WAM Capital dividend? Read this
Is AFIC the best LIC on the ASX?
2 compelling All Ordinaries ASX shares this fund manager likes
WAM Capital’s ASX founder has been buying shares. Here’s what we know

Motley Fool contributor Aaron Teboneras 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 Scott Phillips.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

  • This field is for validation purposes and should be left unchanged.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex Securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

FREE AAPL, TSLA, AMZN, PFE or MRO Share(s)
REGISTER TO BE ELIGIBLE FOR FREE SHARES
TRAVEL ACROSS THE FINANCIAL WORLD
Act Fast - Promotion Ends In
Click Here To Get Started
FREE AAPL, TSLA, AMZN, PFE or MRO Share(s)
REGISTER TO BE ELIGIBLE FOR FREE SHARES
TRAVEL ACROSS THE FINANCIAL WORLD
Act Fast - Promotion Ends In
Click Here For More Info