South State Announces $0.60 Cash Dividend – What to Expect on the Ex-Dividend Date (August 8, 2025)

Introduction

South State Corporation (SSB) continues to demonstrate stability in its dividend policy by announcing a quarterly cash dividend of $0.60 per share. This consistent approach aligns with industry norms for regional banks and highlights the company’s strong earnings performance. The market environment leading up to the ex-dividend date of August 8, 2025, has shown moderate volatility, typical of the pre-dividend adjustment period. Investors are watching closely to see how the market reacts to the upcoming ex-dividend date.

Dividend Overview and Context

The dividend is entirely in cash, with no stock component. A cash dividend of $0.60 per share indicates confidence in the company’s ability to sustain its payout while maintaining flexibility in capital deployment.

On the ex-dividend date (August 8, 2025), the stock price is expected to drop by approximately the amount of the dividend, adjusted for market sentiment. This is a standard market behavior following the ex-date, as investors who purchase shares on or after this date will not be eligible for the dividend.

Backtest Analysis

The backtest covering past dividend events for SSB reveals a pattern of strong and swift price recovery. Specifically, following ex-dividend dates, the average recovery duration is just 1.2 days. There is also an 83% probability of full price recovery within 15 days, based on six dividend events.

These results suggest that SSB’s stock has historically absorbed the dividend impact quickly, offering a degree of predictability for investors. This could imply that the ex-dividend dip may present a short-term opportunity for entry, assuming broader market conditions remain stable.

Driver Analysis and Implications

SSB’s latest financial report shows robust performance across key metrics. The company reported total revenue of $840.98 million, with net interest income of $694.20 million, demonstrating solid interest rate spread management. Earnings per share (EPS) were $3.24 for basic shares, and net income attributable to common shareholders was $247.43 million.

The payout ratio, estimated at approximately 18.5% (dividend of $0.60 per quarter on $3.24 EPS), remains conservative and sustainable. This leaves ample room for reinvestment and potential future dividend growth. These strong internal drivers support the continued payment of dividends and suggest the company is well-positioned to weather macroeconomic headwinds.

The broader market context, marked by rising interest rates and cautious lending, has not negatively impacted SSB. Its strong capital position and disciplined cost management—evidenced by a total noninterest expense of $498.04 million—provide a buffer against volatility.

Investment Strategies and Recommendations

For short-term investors, the backtest indicates that the price drop on the ex-dividend date is likely to be temporary. This could present a tactical entry point, particularly for those with a neutral to bullish view on the broader market.

Long-term investors may want to consider reinvesting the dividend in additional shares or holding for the compounding effect, as SSB’s dividend history supports continued payouts. Investors should also consider how the dividend announcement aligns with their broader income and growth objectives.

Conclusion & Outlook

South State’s $0.60 quarterly cash dividend, effective with the ex-dividend date on August 8, 2025, underscores the company’s commitment to shareholder returns and financial stability. Historical data suggests that the market impact is typically short-lived, with a high probability of recovery within 15 days.

Investors should monitor South State’s next earnings release, which is expected in late October 2025, to assess the company’s ongoing performance and potential for future dividend adjustments.