NEW YORK (TheStreet) -- Sysco Foods (SYY) and Bristol-Myers Squibb (BMY) are both scheduled to go ex-dividend this week. These stocks should be on your radar, especially if you are using a dividend capture strategy.
Under this strategy investors and traders buy stocks for the sole purpose of collecting the quarterly dividend and then immediately selling the stock after the dividend cash payment has been paid the company. It requires pinpoint timing.
Food distributor Sysco will go ex-dividend on Tuesday while drug giant Bristol-Myers will go ex-dividend Wednesday. To qualify for a dividend check from either company, investors must own Sysco shares prior to July 2 and own shares of Bristol-Myers prior to July 6.
Those dates are important because it's the last day an investor will appear on the shareholder roster at either company. Sysco's 30-cent quarterly dividend, yielding 3.20%, will be paid on July 24, while investors of Bristol-Myers can expect their 37-cent quarterly dividend that yields 2.20% on August 3.
Should investors hold these stocks beyond the dividend payment? Lets take a look at whether that's a good idea, starting with Sysco Foods.
SYY data by YCharts
Despite being one of the largest food distribution companies in the world, Texas-based Sysco rarely gets mentioned when discussing a market leader with enormous growth potential. With SYY shares atround $38, down 4.7% on the year and flat in the past 12 months -- trailing the broader averages in both periods -- now would be the time to bet on a possible second-half turnaround in SYY stock.