4 Stocks Going Ex-Dividend Tomorrow: AUQ, RCII, BBD, COV

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Tomorrow, April 2, 2013, 4 U.S. common stocks are scheduled to go ex-dividend. The dividend yields on these stocks range from 1.5% to 2.5%. All of these stocks can be found on our stocks going ex-dividend section of our dividend calendar.

Highlighted Stocks Going Ex-Dividend Tomorrow:

AuRico Gold

Owners of AuRico Gold (NYSE: AUQ) shares as of market close today will be eligible for a dividend of 4 cents per share. At a price of $6.24 as of 9:36 a.m. ET, the dividend yield is 2.5%.

The average volume for AuRico Gold has been 3.4 million shares per day over the past 30 days. AuRico Gold has a market cap of $1.8 billion and is part of the metals & mining industry. Shares are down 23.1% year to date as of the close of trading on Thursday.

EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys dividend stocks that have the potential for a 3% to 4% yield and 10% growth. Get his best picks for less than $50/year.

AuRico Gold Inc. engages in the exploration, development, and production of gold and silver projects and properties in Canada, Mexico, and Australia. Its principal property includes the Ocampo mine covering approximately 15,000 hectares located in Chihuahua State. Currently there are 4 analysts that rate AuRico Gold a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates AuRico Gold as a hold. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including weak operating cash flow, a generally disappointing performance in the stock itself and disappointing return on equity. You can view the full AuRico Gold Ratings Report now.

Rent-A-Center

Owners of Rent-A-Center (NASDAQ: RCII) shares as of market close today will be eligible for a dividend of 21 cents per share. At a price of $36.89 as of 9:32 a.m. ET, the dividend yield is 2.3%.

The average volume for Rent-A-Center has been 710,200 shares per day over the past 30 days. Rent-A-Center has a market cap of $2.2 billion and is part of the diversified services industry. Shares are up 7.5% year to date as of the close of trading on Thursday.

EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys dividend stocks that have the potential for a 3% to 4% yield and 10% growth. Get his best picks for less than $50/year.

Rent-A-Center, Inc., together with its subsidiaries, leases household durable goods to customers on a rent-to-own basis. It operates in four segments: Core U.S., RAC Acceptance, International, and ColorTyme. The company has a P/E ratio of 11.95. Currently there are 4 analysts that rate Rent-A-Center a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Rent-A-Center as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels, expanding profit margins, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income. You can view the full Rent-A-Center Ratings Report now.

Bank Bradesco

Owners of Bank Bradesco (NYSE: BBD) shares as of market close today will be eligible for a dividend of 1 cents per share. At a price of $16.98 as of 9:36 a.m. ET, the dividend yield is 2.4%.

The average volume for Bank Bradesco has been 7.0 million shares per day over the past 30 days. Bank Bradesco has a market cap of $68.2 billion and is part of the banking industry. Shares are down 2% year to date as of the close of trading on Thursday.

EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys dividend stocks that have the potential for a 3% to 4% yield and 10% growth. Get his best picks for less than $50/year.

The company has a P/E ratio of 21.51. Currently there are 6 analysts that rate Bank Bradesco a buy, no analysts rate it a sell, and 3 rate it a hold.

You can view the full Bank Bradesco Ratings Report now.

Covidien

Owners of Covidien (NYSE: COV) shares as of market close today will be eligible for a dividend of 26 cents per share. At a price of $67.73 as of 9:35 a.m. ET, the dividend yield is 1.5%.

The average volume for Covidien has been 2.2 million shares per day over the past 30 days. Covidien has a market cap of $32.0 billion and is part of the health services industry. Shares are up 17.5% year to date as of the close of trading on Thursday.

EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys dividend stocks that have the potential for a 3% to 4% yield and 10% growth. Get his best picks for less than $50/year.

Covidien plc develops, manufactures, and sells healthcare products for use in clinical and home settings worldwide. The company has a P/E ratio of 17.26. Currently there are 14 analysts that rate Covidien a buy, 1 analyst rates it a sell, and 2 rate it a hold.

TheStreet Ratings rates Covidien as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, revenue growth, attractive valuation levels, growth in earnings per share and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow. You can view the full Covidien Ratings Report now.

More About Dividends:

One benefit of owning a stock is the potential that you will be paid a dividend. The distribution of dividend payments is another way for a company to share its profit with you. A dividend means that the company pays you a certain amount of money, either as a one-time payment or more commonly on a quarterly basis, for each share of stock you own.

Many times, dividends come at the expense of greater price appreciation, because the company is distributing its profits to shareholders rather than reinvesting the profits back into the growth of the company. However, companies that pay dividends can be very attractive to investors when they offer a steady stream of income. There are some important terms and dates an investor should be familiar with before purchasing any dividend-paying companies. Let's work through an example to help better explain some of these terms:

On March 1, ABC Widget Company has decided that because it holds excess cash and lacks investment opportunities, it would like to reward shareholders with a regular quarterly dividend payment. The date for this particular announcement is known as the declaration date. It is on this date that the company announces the specific dividend payment along with the holder of record date (aka record date) and the payment date. The company announces that a dividend payment of 25 cents per share will be payable March 31, 2012 (the payment date) to all shareholders of record at the close of business on March 16, 2012 (holder of record date). What does this all mean? Well the short story is that the company looks at its records on March 16 and anyone listed on the books as an owner of ABC Widget company will be eligible for the dividend payment (on March 31).

The one other important term to remember is the ex-dividend date. The ex-dividend date (typically two trading days before the holder of record date for U.S. securities) is the day in which a company begins trading without the dividend. In order to have a claim on a dividend, shares must be purchased no later than the last business day before the ex-dividend date. A company trading ex-dividend will have the upcoming dividend subtracted from the share price at the start of the trading day. Many times, the price of a stock will increase in anticipation of the upcoming dividend as the ex-dividend date approaches, yet will fall back by the amount of the dividend on the ex-dividend date.

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

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