XD

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DEFINITION of 'XD'

A symbol used to signify that a security is trading ex-dividend. XD is an alphabetic qualifier that acts as shorthand to tell investors key information about a specific security in a stock quote. Sometimes "X" alone is used to indicate that the stock is trading ex-dividend. Qualifiers can vary depending on where the stock is quoted, because different news services that supply stock quotes may use different qualifiers.

INVESTOPEDIA EXPLAINS 'XD'

A dividend is a distribution of part of a company's earnings to the company's shareholders. When a stock is trading ex-dividend, the current stockholder has received a recent dividend payment and whoever purchases the stock will not receive the dividend. The stock's price should be lower as a result. There are quite a few qualifiers that relate to dividends; "j," indicates that the stock paid a dividend earlier in the year, but currently does not carry a dividend.

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RELATED FAQS
  1. Do penny stocks pay dividends?

    Because of the small market capitalization and revenues typical of most penny stocks, there are very few that offer dividends. ... Read Full Answer >>
  2. How do dividend distributions affect additional paid in capital?

    Whether a dividend distribution has any effect on additional paid-in capital depends solely on what type of dividend is issued: ... Read Full Answer >>
  3. When does the holding period on a stock dividend start?

    The holding period on a stock dividend typically begins the day after it is purchased. Understanding the holding period is ... Read Full Answer >>
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    According to data published by the NYU Leonard N. Stern School of Business, as of January 2015, the average annual dividend ... Read Full Answer >>
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