Can anyone explain the downside to this plan other the the obvious risk of the stock price dropping right after the Ex-Dividend date?
Follow me here:
Mercedes Benz stock symbol MBGAF pays a dividend of $4.86 per share this year.
The next Ex-Date is May 09, 2025.
The next pay date is May 12, 2025.
Take $500,000 cash and purchase 8,064.516 shares at todays price of $62 per share.
Sell after May 10, 2025.
You just earned $39,193.00 (8064.516 shares at $4.86/share).