Dividend Watch: 3 Stocks Going Ex-Dividend Tomorrow: WTFC, KBH, AMTD

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Tomorrow, Tuesday, November 04, 2014, 9 U.S. common stocks are scheduled to go ex-dividend. The dividend yields on these stocks range from 0.3% to 6.2%. All of these stocks can be found on our stocks going ex-dividend section of our dividend calendar.

Highlighted Stocks Going Ex-Dividend Tomorrow:

Wintrust Financial

Owners of Wintrust Financial (NASDAQ: WTFC) shares, as of market close today, will be eligible for a dividend of 10 cents per share. At a price of $46.26 as of 9:35 a.m. ET, the dividend yield is 0.9%.

The average volume for Wintrust Financial has been 207,100 shares per day over the past 30 days. Wintrust Financial has a market cap of $2.1 billion and is part of the banking industry. Shares are up 0.4% year-to-date as of the close of trading on Friday.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Wintrust Financial Corporation, through its subsidiaries, provides banking and other financial products and services to customers in the Chicago metropolitan area and in southeastern Wisconsin. The company operates in three segments: Community Banking, Specialty Finance, and Wealth Management. The company has a P/E ratio of 15.65.

TheStreet Ratings rates Wintrust Financial as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, expanding profit margins, increase in net income and notable return on equity. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. You can view the full Wintrust Financial Ratings Report now.

KB Home

Owners of KB Home (NYSE: KBH) shares, as of market close today, will be eligible for a dividend of 2 cents per share. At a price of $15.87 as of 9:36 a.m. ET, the dividend yield is 0.6%.

The average volume for KB Home has been 3.9 million shares per day over the past 30 days. KB Home has a market cap of $1.5 billion and is part of the materials & construction industry. Shares are down 13.9% year-to-date as of the close of trading on Friday.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

KB Home is engaged in homebuilding activities in the United States. It constructs and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, move-up, and active adult homebuyers. The company has a P/E ratio of 16.10.

TheStreet Ratings rates KB Home as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels and increase in net income. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk, poor profit margins and weak operating cash flow. You can view the full KB Home Ratings Report now.

TD Ameritrade

Owners of TD Ameritrade (NYSE: AMTD) shares, as of market close today, will be eligible for a dividend of 15 cents per share. At a price of $34.26 as of 9:36 a.m. ET, the dividend yield is 1.8%.

The average volume for TD Ameritrade has been 3.2 million shares per day over the past 30 days. TD Ameritrade has a market cap of $18.1 billion and is part of the financial services industry. Shares are up 10.1% year-to-date as of the close of trading on Friday.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TD Ameritrade Holding Corporation provides securities brokerage services and technology-based financial services to retail investors, traders, and independent registered investment advisors (RIAs) in the United States. The company has a P/E ratio of 23.32.

TheStreet Ratings rates TD Ameritrade as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, expanding profit margins, solid stock price performance and growth in earnings per share. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. You can view the full TD Ameritrade 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.

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