Royal Mail Dividend

Royal Mail is a Dividend Paying Stock

Royal Mail Group (stock ticker RMG) entered into the London Stock Exchange last year for trading.

The government offered everyone in the United Kingdom the chance to purchase £750 worth of these shares before they went live on the stock exchange. I was lucky enough to get my quota of 227 shares at 330 pence each.These seem like a real bargain now as recently the share price spiked at over 610 pence.

Many investors like the idea of Royal Mail Group as it is a dividend paying stock. Dividend stocks have outperformed others stocks long term. Personally I like the idea of a stock that pays me money twice yearly as opposed to one that does not.

I also liked the fact that this particular stock was available as part of a stocks and shares ISA. This basically means that any profit and dividends are tax free.

If you are holding Royal Mail shares or are thinking about buying and you want to find out the ex dividend date or the dividend payment keep reading.



Royal Mail Shares

How many Royal Mail shares do you have?

  • Less than 100
  • 100 - 200
  • 201 - 500
  • 501 - 1000
  • Over 1000
See results without voting

When is the Royal Mail ex dividend date?

The ex dividend date is the day you need to buy a stock to ensure you receive the next dividend payment. If you wait until after this date you will not receive the subsequent dividend.

Royal Mail are set to pay out dividends twice yearly; in December/January and July/August. This will be decided at the Annual General Meeting and will be laid out in the dividend schedule.

I looked at the Royal Mail Investors website for details of this so that all you potential investors can get your shares by the ex dividend date. The ex dividend date is still to be announced but I am guessing it will be sometime in June.

A word of warning for keen investors is that the share price will rise approaching this date so bear this is mind when planning your investment.

How much dividend is Royal Mail going to pay per share?

The big question that everyone is asking is how much is Royal Mail Group going to pay per share?

The good news is that the total dividend payout amounts to £133 million which is a staggering amount. There are one million shares in circulation so this means that each share will be paid 13.3 pence in dividends.

You can see the dividend payouts for total number of shares below. I have just included a few examples in the table.

Firstly they are only paying one dividend this year due to the share only being launched last year. You can expect two payments next year.

Royal Mail Dividend Payouts July 2014

Number of Shares
Expected Royal Mail Dividend Payout (£)
100
13.30
200
26.60
227
30.19
500
66.50
If you want an estimate of how much your Royal Mail dividend payment is going to be you can look at the table.

What to do with your dividends?

Will you reinvest your dividends back into Royal Mail?

  • Yes I am in there for the long haul
  • No I will take them and run
  • Not sure yet
See results without voting

Are you waiting on a Royal Mail Dividend payout?

No comments yet.

    Sign in or sign up and post using a HubPages Network account.

    0 of 8192 characters used
    Post Comment

    No HTML is allowed in comments, but URLs will be hyperlinked. Comments are not for promoting your articles or other sites.


    Click to Rate This Article
    working