How do you figure out common shares that are outstanding for cash dividends?
submitted by Pat

super ted

Look at the company's statement of shareholders' equity or the balance sheet. Usually, the number of shares listed there is what you use, but if there have been recent issues or buybacks, you'd need to factor those in too.

dale

Start with the company's issued and outstanding shares. You then adjust for any shares issued or repurchased during the period.

The basic formula is:
Shares Outstanding for Dividends = Beginning Shares Outstanding + Shares Issued during the Period - Shares Repurchased during the Period.

This gives you the current number of shares eligible for dividend payments.

ellion

To figure out how many common shares are out there for paying dividends, I'd check the company's latest share count, like from the annual report or quarterly filings.