Why is the BHP share price falling today?
Image source: Getty Images
The BHP Group Ltd (ASX: BHP) share price is falling on Thursday.
In morning trade, the mining giant’s shares are down almost 1% to $39.25.
Why is the BHP share price falling?
While you never want to see shares you own falling, today’s decline is arguably a positive for shareholders.
That’s because it has been caused by the Big Australian’s shares going ex-dividend this morning for its upcoming interim dividend.
When a company’s shares go ex-dividend, it means that the rights to an impending dividend are locked in. As a result, new buyers of those shares won’t be eligible to receive its payout when pay day comes around.
As a dividend forms part of a company’s valuation, a share price will tend to drop in line…
