Convertible special stock dividend
In a press on April 3, A. Schulman, LyondellBasell’s (LYB) subsidiary, declared a quarterly dividend of $15.00 per share for the holders of its convertible special stock. The dividend payable is independent of Lyondellbasell’s quarterly dividend. To be eligible for the dividend, investors should hold A.Schulman stock as of the close of business on April 15. The dividend is expected to be paid on May 1. The dividend rate didn’t change compared to the previous quarter.
LyondellBasell stock closed the week on a positive note. The stock rose 8.3% last week and closed at $91.06. The higher stock price resulted in the trend reversal in the company’s 100-day moving average price. The stock traded 4.5% above its 100-day moving average price of $87.12.
On a year-to-date basis, the stock has risen 9.5%. Celanese (CE), Westlake Chemical (WLK), and Eastman Chemical (EMN) have risen 18%, 17.4%, and 13.8%, respectively. LyondellBasell’s 14-day relative strength index was 66, which indicates that it’s getting closer to being overbought. An RSI of 70 and above indicates that the stock is overbought, while an RSI of 30 and below indicates that the stock is oversold.
Investors could hold LyondellBasell indirectly by investing in the Invesco S&P 500 Equal Weight Materials ETF (RTM), which rose 3.6% last week. RTM invested 4.0% of its portfolio in LyondellBasell as of April 5.