The CSL (ASX:CSL) share price is falling today, but here's what investors can look forward to next week

CSL shares are losing steam today, but the company has a big event coming up…

| More on:
A doctor appears shocked as he looks through binoculars on a blue background.

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

  • Both the ASX 200 and CSL shares are struggling today
  • CSL's downward move could be the result of the announcement the company made yesterday
  • But investors should look to Monday for another share price movement

It hasn't been a very pleasant day for the CSL Limited (ASX: CSL) share price so far today. Or the S&P/ASX 200 Index (ASX: XJO) for that matter. At the time of writing, the ASX 200 has fallen by 1.36% and is back under 7,100 points. As it currently stands, CSL shares are trading at $254.83 each, down 1.04% so far today.

it appears the announcement that CSL made last night hasn't been enough to buck the trend of the broader market. Although, it's worth saying that perhaps it has been enough to give the healthcare giant a slight edge over the ASX 200.

As my Fool colleague James covered this morning, CSL has announced an update regarding its major acquisition plans. Back in December last year, CSL announced it was intending to acquire the Swiss biotech company Vifor Pharma for US$12.3 billion in cash. Well, we got an update on this proposed buyout after market close yesterday.

CSL revealed that 74% of Vifor shares have been tendered as part of its public tender offer. Originally, the deal had an 80% target. However, CSL has decided to waive this requirement and will be pressing ahead with the deal. It still plans to have the acquisition cross the finish line by mid-2022.

So perhaps this development is having an impact on the CSL share price so far this Friday.

CSL shares to pay out next month

But there is also a big event for CSL coming up next week.

Monday will see this healthcare share trade ex-dividend for its upcoming interim dividend payment. This dividend was announced when the company delivered its half-year earnings results last month. The dividend investors are to receive will be a US$1.04 payment, which will be worth approximately A$1.42 per share going off current exchange rates. The raw US$1.04 payment is flat on last year's interim dividend. It will come unfranked.

So today is effectively the last day that investors can buy CSL shares if they want to receive this dividend. Come Monday, any new investors will be ineligible, and as such, the value of this dividend will leave the CSL share price. So don't be surprised if we see a share price fall for CSL on Monday. But investors will have to wait until April 6 to see this dividend hit their bank accounts. Something to look forward to.

At the current CSL share price, this ASX 200 healthcare share has a market capitalisation of $123.27 billion, with a dividend yield of 1.02%

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns and has recommended CSL Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Dividend Investing

Man holding out $50 and $100 notes in his hands, symbolising ex dividend.
Dividend Investing

These ASX dividend stocks offer 4% to 8% yields

Analysts are tipping these stocks as buys for income investors.

Read more »

A happy woman at her laptop punches the air, indicating a rising share price
Dividend Investing

Buy BHP and these ASX dividend shares now

Analysts think that income investors should be buying these shares.

Read more »

Man smiling at a laptop because of a rising share price.
Dividend Investing

Why now presents an 'attractive opportunity' to buy this quality ASX 200 dividend stock

The ASX 200 dividend stock could be trading at a long-term bargain.

Read more »

Man holding out $50 and $100 notes in his hands, symbolising ex dividend.
Dividend Investing

Overinvested in ANZ shares? Here are two alternative ASX passive income options

These investments could add pleasing dividend diversification.

Read more »

Two smiling work colleagues discuss an investment or business plan at their office.
Dividend Investing

Analysts say these ASX dividend shares are top buys

Here's what sort of yields they are expecting from these shares.

Read more »

Two elderly men laugh together as they take a selfie with a mobile phone with a city scape in the background.
Dividend Investing

Forget term deposits and buy these ASX dividend stocks

Analysts think these stocks could be buys for income investors.

Read more »

A woman sits on sofa pondering a question.
Dividend Investing

Do Fortescue shares beat the big banks for dividend income?

Is Fortescue's 10%-plus dividend yield too good to pass up?

Read more »

A mining worker wearing a white hardhat and a high vis vest stands on a platform overlooking a huge mine, thinking about what comes next.
Dividend Investing

BHP shares have fallen out of the global top 20 dividend payers. Here's why

Global dividends continue to climb.

Read more »