So here's something that "newbs" to investing 102 might not understand --
You get up one morning and your stock is "down" for the day -- and everything else you have is UP... WTF? What's wrong with that stock?
Dividend paying stocks go "ex" dividend on a particular date - it's well known - and is announced in advance.... and once they pay the dividend - the stock goes down because many dividend players just want to pick up the dividend and then sell the shares... AND the company has just paid out CASH so that affects the balance sheet.
I'll use AT&T as an example - since it went "ex dividend" today and it's down .50 this morning.... Here's what the notice looks like.
Regular Dividend of $0.44 went Ex: T began trading ex-dividend today, payable to shareholders of record as of 01/10/2012.
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