Declaration Date

In trading, the term declaration date refers to the date on which annual stock dividends are announced. The ex-dividend date and record date are also announced at this time.

The announcement of dividends directly impacts demand for stocks, as growth in a company’s dividends typically signals growth in the company. A decline in dividends may signal a decline in a company’s profits.

For this reason, the value of stocks may fluctuate on and immediately after their declaration dates.

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Editor Daniel Dreier
Daniel Dreier is editor and personal finance expert at moneyland.ch.