Stock Dividend

What does it Mean? A dividend payment made in the form of additional shares, rather than a cash payout.

Also known as a "scrip dividend."
Investopedia Says... Companies may decide to distribute stock to shareholders of record if the company's availability of liquid cash is in short supply. These distributions are generally acknowledged in the form of fractions paid per existing share. An example would be a company issuing a stock dividend of 0.05 shares for each single share held.

Terms Related Links

Dividend Clawback
Dividend Payout Ratio
Dividend Reinvestment Plan - DRIP
Dividend Yield
Ex-Dividend Date
Fractional Share
In Specie
Record Date
Shareholder

Terms Related Links
How and Why Do Companies Pay Dividends? - Explore arguments for and against company dividend policy, and learn how companies determine how much to pay out.

The Importance Of Dividends - Seven words that are music to investors' ears? "The dividend check is in the mail."

Stock Basics Tutorial - If you're new to the stock market and want the basics, this is the tutorial for you!

Declaration, Ex-dividend And Record Date Defined - Understanding the dates of the dividend payout process can be tricky. We clear up the confusion.

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The Perks Of Dividend Reinvestment Plans - These plans offer shareholders a way to directly invest in some of the top companies without the commissions.

Does a stock dividend dilute the price per share as would a forward stock split?

How do I find dividend-paying stocks?

Which is better a cash dividend or a stock dividend?

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