XD can be defined as a sign used to indicate that a stock is trading ex-dividend.
It is an alphabetic qualifier that is used as shorthand to inform investors key data about a particular stock in a stock statement.
Sometimes the expression X alone may be used to demonstrate that the security is trading ex-dividend.
Qualifiers can vary based on where the security is quoted, on the grounds that the different news and market information providers that provide security quotes may use qualifier symbols that may be different.
These sign letters may be visible as component of a display on a broker's trading platform, on a chart platform or in a published report.
A dividend is the distribution of reward from a part of the company's revenue and is paid to a class of its investors.
Dividends are determined and overseen by the board of directors of the company, however they must be agreed upon by the company’s investors through a voting.
At the point when a security is trading as ex-dividend, the present investor has obtained a recent dividend installment and whoever buys the security will not obtain the dividend.
The security's price is probably going to be lower due to this.