Should one consider 3 NZX dividend stocks going ex in January 2022?

Highlights

• Many companies have both their ex-dividend dates as well as distribution dates next month.
• Livestock Improvement Corporation would pay 10.0 cps as a special dividend to its shareholders.
• Underpinned by cost control measures, Tower to reward its investors by paying dividend.

Dividend stocks not only hold potential for a regular income stream for their investors but also provide additional income, which can be re-invested, thereby enhancing one’s investment portfolio.

Moreover, investors are hooked on these dividend-paying stocks, which remain averse to market fluctuations even during turbulent times.

That said, let us explore the three NZX dividend stocks which are turning ex next month.

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Livestock Improvement Corporation Limited (NZX:LIC)

Livestock Improvement Corporation Limited is NZ’s famous agri-tech company, engaged in supplying superior genetics and technology. It has declared a special dividend of 10.0 cps, majorly on account of divestment of its automation business which was in line with the Co-operative’s refined strategy.

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The said dividend is payable on 21 January next year with its ex-dividend date being 6 January.

At the time of writing on 20 December, Livestock Improvement Corporation traded flat at NZ$1.400.

Tower Limited (NZX:TWR; ASX:TWR)

A well-known name in the general insurance space is Tower Limited. The Company has declared a final dividend of 2.50 cps, bolstered by prudent cost control and improved efficiencies, which saw a growth of 7.9% in its premium.

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It would pay the dividend on 2 February, while 18 January is its ex-dividend date.

At the time of writing on 20 December, Tower fell 1.40% and was at NZ$0.705.

Turners Automotive Group Limited (NZX:TRA; ASX:TRA)

Turners Automotive Group Limited offers services related to automotive retail, debt management, finance, and Insurance.

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Underpinned by improved businesses as well as geographic and earnings diversification, the Group posted 26% and 13% growth in its NPAT and revenue, which amounted to $16.9 million and $166.8 million, respectively.

Hence, TRA declared 5.0 cps as an interim dividend, with the ex-dividend date being 17 January.

The said dividend would be distributed to its shareholders on 27 January.

At the time of writing on 20 December, Turners Automotive Group was trading down by 0.67% at NZ$4.42.

Bottom Line

The finest thing about dividend stocks is that they could prove to be income sources even during harsh market movements. A stock’s ex-dividend is mostly mentioned a day ahead of the record date. A stakeholder can secure a dividend amount only when he/she has invested in the stock ahead of the ex-dividend date.