Don’t Race Out To Buy TPG Inc. (NASDAQ:TPG) Just Because It’s Going Ex-Dividend

Simply Wall St

Sun, February 15, 2026 at 9:10 PM GMT+9 3 min read

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•                                       StockStory Top Pick 
  

  TPG

  +1.62%

TPG Inc. (NASDAQ:TPG) stock is about to trade ex-dividend in three days. The ex-dividend date is usually set to be one business day before the record date, which is the cut-off date on which you must be present on the company’s books as a shareholder in order to receive the dividend. The ex-dividend date is important as the process of settlement involves a full business day. So if you miss that date, you would not show up on the company’s books on the record date. Therefore, if you purchase TPG’s shares on or after the 19th of February, you won’t be eligible to receive the dividend, when it is paid on the 5th of March.

The company’s next dividend payment will be US$0.61 per share. Last year, in total, the company distributed US$2.06 to shareholders. Calculating the last year’s worth of payments shows that TPG has a trailing yield of 4.2% on the current share price of US$49.53. We love seeing companies pay a dividend, but it’s also important to be sure that laying the golden eggs isn’t going to kill our golden goose! That’s why we should always check whether the dividend payments appear sustainable, and if the company is growing.

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Dividends are typically paid out of company income, so if a company pays out more than it earned, its dividend is usually at a higher risk of being cut. TPG distributed an unsustainably high 155% of its profit as dividends to shareholders last year. Without more sustainable payment behaviour, the dividend looks precarious.

When a company pays out a dividend that is not well covered by profits, the dividend is generally seen as more vulnerable to being cut.

View our latest analysis for TPG

Click here to see the company’s payout ratio, plus analyst estimates of its future dividends.

NasdaqGS:TPG Historic Dividend February 15th 2026

Have Earnings And Dividends Been Growing?

Companies with consistently growing earnings per share generally make the best dividend stocks, as they usually find it easier to grow dividends per share. If earnings decline and the company is forced to cut its dividend, investors could watch the value of their investment go up in smoke. With that in mind, we’re encouraged by the steady growth at TPG, with earnings per share up 3.0% on average over the last five years.

Another key way to measure a company’s dividend prospects is by measuring its historical rate of dividend growth. Since the start of our data, four years ago, TPG has lifted its dividend by approximately 4.0% a year on average. We’re glad to see dividends rising alongside earnings over a number of years, which may be a sign the company intends to share the growth with shareholders.

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Final Takeaway

Should investors buy TPG for the upcoming dividend? While we like that its earnings are growing somewhat, we’re not enamored that it’s paying out 155% of last year’s earnings. This is not an overtly appealing combination of characteristics, and we’re just not that interested in this company’s dividend.

So if you’re still interested in TPG despite it’s poor dividend qualities, you should be well informed on some of the risks facing this stock. For example, we’ve found 1 warning sign for TPG that we recommend you consider before investing in the business.

A common investing mistake is buying the first interesting stock you see. Here you can find a full list of high-yield dividend stocks.

Have feedback on this article? Concerned about the content? Get in touch** with us directly.**_ Alternatively, email editorial-team (at) simplywallst.com._

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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