RGP

What is the ex‑dividend date and how might it affect the stock's short‑term price movement?

Created August 06, 2025 at 07:47 PM

1. What is the ex‑dividend date?

Item in the press release	Date
Record (or “holder‑of‑record”) date	August 29 2025
Typical rule for the ex‑dividend date	The ex‑dividend date is one business day before the record date (unless a holiday shifts the schedule). In this case the most likely ex‑dividend date is August 28 2025 (the market close on 28 Aug 2025). The dividend will be paid on September 26 2025 to shareholders who own the shares at the close of business on the ex‑date (i.e., those who bought the stock on or after Aug 28 2025 are not entitled to the dividend).

Item in the press release

Date

Record (or “holder‑of‑record”) date

 August 29 2025

Typical rule for the ex‑dividend date

The ex‑dividend date is one business day before the record date (unless a holiday shifts the schedule). In this case the most likely ex‑dividend date is August 28 2025 (the market close on 28 Aug 2025). The dividend will be paid on September 26 2025 to shareholders who own the shares at the close of business on the ex‑date (i.e., those who bought the stock on or after Aug 28 2025 are not entitled to the dividend).

Why “August 28 2025”?

* The press release states that the “record date” is August 29 2025.

* By U.S. market conventions, the ex‑dividend date is set one business day prior to the record date.

* Since August 29 2025 falls on a Friday (2025 calendar), the preceding business day is Thursday, August 28 2025.

2. How could this dividend announcement affect RGP’s short‑term price movement?

Factor	Expected impact on the stock price	Rationale
Dividend announcement (4 cents per share cash)	Positive short‑term boost (often 1–2 % upside) immediately after the news is released.	Dividend announcements are generally viewed as a sign of financial health and can attract income‑focused investors.
Ex‑dividend date (Aug 28)	Price “drop‑off” of roughly the dividend amount on the ex‑date.	On the ex‑date the stock trades “without” the right to receive the dividend, so the market price typically falls by an amount close to the dividend ($0.07 per share). For a stock trading around, say, $30‑$35, this is a ~0.2 %–0.3 % adjustment (very small relative to the price).
Pre‑ex‑dividend buying pressure	Minor upward pressure in the days leading to Aug 28.	Traders may buy the stock before the ex‑date to capture the dividend, pushing the price up a few basis points (especially if the dividend is relatively small).
Post‑ex‑dividend settlement	Potential slight volatility after the ex‑date, but generally price stabilizes.	The price usually reverts to a level reflecting the company’s fundamentals minus the dividend payout. Any large swing would be more likely due to broader market or company‑specific news, not the dividend itself.
Liquidity and market‑wide factors	Broader market sentiment can dominate the short‑term move.	If the overall market is volatile (e.g., macro‑economic data, Fed moves, sector news), the dividend‑related price adjustment may be masked or amplified.
Dividend yield & investor profile	Attracts dividend‑focused investors which may increase demand from “income” funds.	A modest cash dividend may bring modest interest from dividend‑oriented ETFs or mutual funds that have mandates to hold dividend‑paying stocks, supporting the price.

Expected Price Pattern (Simplified)

          (announcement)          (pre‑ex)     (ex‑date)   (post‑ex)
      +------------------+----------------+------------+------------>
      |   Positive news   |   Buying       |  Price drops ≈ $0.07 |   Price stabilizes
      |   (1‑2% rise)    |   pressure    |  (roughly 0.2‑0.3%) |   (subject to market)

The magnitude of the price dip on the ex‑date is *not** equal to the full dividend amount in practice, because the market also incorporates expected earnings, growth, and other fundamentals.*

3. Bottom‑line take‑away for traders/investors

Mark your calendar: You must be record‑date holder (i.e., hold the shares at market close on August 28 2025) to receive the $0.07 per share dividend paid on September 26 2025.
Expect a small, predictable price dip on August 28 2025 as the dividend is “priced out.”
Potential short‑term upside may appear before the ex‑date as investors buy to capture the dividend, especially in a low‑volatility environment.
Post‑ex‑date price movement will likely be dominated by normal market forces; the dividend itself should not cause a prolonged drift.

Bottom line: The ex‑dividend date is August 28 2025, and the stock is expected to trade roughly $0.07 lower on that day (ceteris paribus) due to the dividend payout, with any additional short‑term movement driven primarily by broader market dynamics and any other concurrent news.

What is the ex‑dividend date and how might it affect the stock's short‑term price movement?

Expected Price Pattern (Simplified)

Other Questions About This News