Published on 17 Feb 2024 on Simply Wall St. via Yahoo Finance

National Bank Holdings (NYSE:NBHC) Could Be A Buy For Its Upcoming Dividend

National Bank Holdings Corporation (NYSE:NBHC) is about to trade ex-dividend in the next four days. Typically, the ex-dividend date is one business day before the record date which is the date on which a company determines the shareholders eligible to receive a dividend. The ex-dividend date is of consequence because whenever a stock is bought or sold, the trade takes at least two business day to settle. Therefore, if you purchase National Bank Holdings' shares on or after the 22nd of February, you won't be eligible to receive the dividend, when it is paid on the 15th of March.

The company's next dividend payment will be US$0.27 per share, on the back of last year when the company paid a total of US$1.08 to shareholders. Calculating the last year's worth of payments shows that National Bank Holdings has a trailing yield of 3.1% on the current share price of US$34.40. Dividends are a major contributor to investment returns for long term holders, but only if the dividend continues to be paid. So we need to investigate whether National Bank Holdings can afford its dividend, and if the dividend could grow.

Check out our latest analysis for National Bank Holdings