Keen on bagging the latest South32 dividend? You'll need to be quick

Read here if you're looking to get in on the South32 dividend.

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Key points
  • South32 shares finished at $4.31 during Tuesday's market close 
  • The company's dividend is set to trade ex-dividend tomorrow 
  • South32 is paying a record final dividend of US 17 cents per share on 13 October 

If you're looking to secure the South32 Ltd (ASX: S32dividend, then you might want to read this before taking action.

The diversified mining and metals company dropped its full-year results on 25 August, and it didn't disappoint.

South32 reported record earnings, free cash flow from operations and return on invested capital.

The balance sheet returned to a net cash position following substantial investments which improved its portfolio.

Subsequently, the board declared a record dividend of US 14 cents per share along with a special dividend of US 3 cents per share.

Both dividends are fully franked.

In total, the US 17 cent final dividend represents a significant lift from the US 5.5 cents per share (including a special dividend of US 2 cents per share) over the prior corresponding period.

And looking at yearly comparisons, FY22's dividend stood at US 25.7 cents – up 272% from FY21.

However, the boosted dividend failed to gain any traction on the South32 share price as it has remained relatively steady.

For context, the company's shares last traded at $4.31 yesterday.

Let's take a look at the key dates for the upcoming final dividend.

Miner holding cash which represents dividends.

Image source: Getty Images

Time is almost out to lock in the South32 dividend

Should you be looking for a small bonus next month, be sure to buy South32 shares today and hold them until tomorrow morning at the earliest.

This is because the share will trade ex-dividend on Thursday.

Keep in mind though when a company's shares trade ex-dividend, the share price tends to fall in proportion to the dividend paid out. However, this can vary depending on how the market is tracking for the day as well as investor sentiment.

If you do manage to scoop up some South32 shares, a dividend payment of roughly A$0.25 per share will land in your bank account on 13 October.

The details of the exact payment currency equivalent will be released on 22 September.

This will be based on the average exchange rate realised by South32 during the period from 5-21 September.

South32 share price snapshot

Over the last 12 months, the South32 share price has gained 26% following favourable market conditions to base metal prices.

Based on today's price, South32 commands a market capitalisation of $19.95 billion and has a dividend yield of 3.93%.

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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