Hoping to bag the boosted Westpac dividend? You'll need to buy shares today

Banking on getting the Westpac dividend? Investors need to own shares by the end of today.

| More on:
A businesswoman on the phone is shocked as she looks at her watch, she's running out of time.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • Westpac shares are about to go ex-dividend
  • That means investors need to own shares by the end of today to receive the upcoming 70 cents per share dividend
  • The bank says it has a good balance sheet, but financial stress is expected to rise, while lending margins could fall

The Westpac Banking Corp (ASX: WBC) dividend will soon be allocated to investors. But, people need to own shares today if they want to receive it.

The ASX bank share recently announced its FY23 half-year result for the six months to 31 March 2023.

Westpac ex-dividend date

As announced earlier this week, the bank's board decided to declare an interim dividend of 70 cents per share. This represented a year-over-year increase of 15%.

The ex-dividend date is 11 May 2023. Investors need to own shares before this date to be entitled to the upcoming dividend.

This means investors need to own Westpac shares by the end of today's trading — 10 May 2023. So there are only a few hours left to ensure entitlement to that dividend.

However, many other investors may have the same idea – so don't be surprised if the Westpac share price drops on 11 May 2023 by a similar amount to the dividend amount.

When will the Westpac dividend be paid?

Westpac has revealed it is going to pay the 70 cents per share dividend on 27 June 2023.

As such, shareholders will only need to wait a month and a half for the money to hit their bank accounts.  

Growth expected to slow

Westpac's profit has benefited from the higher lending profits. The bank's FY23 half-year net profit rose 22% to $4 billion.

However, the ASX bank share is expecting credit growth for both housing and business will slow. It's expecting more stress in the period ahead, particularly for small business. Westpac noted that "intense mortgage competition is expected to negatively impact industry and Westpac's margins in the next half".

But, management believes its balance sheet strength will enable it to support customers and navigate any future economic challenges.

The bank said interest rates are closer to their forecast peak, but it's focused on how long they stay high and what this means for household budgets and discretionary spending.

Westpac share price snapshot

Since the start of the month, the ASX bank share has dropped 4%.

Motley Fool contributor Tristan Harrison 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 recommended Westpac Banking Corporation. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Bank Shares

A corporate female wearing glasses looks intently at a virtual reality screen with shapes and lights representing Block shares going up today
Bank Shares

Are Westpac shares a buy following the bank's big tech update?

Is now a good time to buy the banking giant's shares? Let's find out.

Read more »

Different Australian dollar notes in the palm of two hands, symbolising dividends.
Bank Shares

Own CBA shares? It's payday for you!

A dividend is heading to CBA shareholders’ bank accounts.

Read more »

A man holds his hand under his chin as he concentrates on his laptop screen and reads about the ANZ share price
Bank Shares

Are CBA shares really worth $120?

It has been a good year for ASX bank shareholders.

Read more »

a group of people sit around a computer in an office environment.
Bank Shares

Westpac shares push higher on $9.8b technology simplification plan

Westpac plans to spend big on technology to close the gap on its rivals.

Read more »

A worried woman looks at her phone and laptop, seeking ways to tighten her belt against inflation.
Economy

NAB boss issues dire prediction for Aussie economy

NAB’s CEO has issued a stark warning on the outlook for Australia’s economic growth.

Read more »

Contented looking man leans back in his chair at his desk and smiles.
Bank Shares

Own CBA shares? Here's the tech stock the banking giant just invested in

CBA has made an interesting investment. Here's what you need to know.

Read more »

A woman gives two fist pumps with a big smile as she learns of her windfall, sitting at her desk.
Bank Shares

ANZ shares charge higher on $57.5 million class action settlement news

ANZ shares have continued their positive run on Monday.

Read more »

Two people comparing and analysing material.
Bank Shares

Better buy: CBA or Westpac stock?

Which ASX bank share is a better buy?

Read more »