The Pro Medicus Ltd (ASX: PME) share price tumbled 1.7% to an intraday low of $289.59 on Wednesday.
The ASX 200 healthcare sector darling has since regained some minor ground, trading at $290.47 per share, down 1.4% right now.
Meanwhile, the ASX 200 is down by a nasty 1.65% to 8,754.2 points at the time of writing.
So, what's going on with Pro Medicus shares?
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Why is the Pro Medicus share price in the red?
The answer is very simple: It's ex-dividend day.
It's typical for an ASX stock's price to fall on ex-dividend day because it is no longer trading with the next dividend attached.
So, Pro Medicus shares are less valuable to buyers today than they were yesterday.
With the August earnings season over, Pro Medicus is one of more than 30 ASX shares going ex-dividend this week.
Pro Medicus shares will pay a final dividend of 30 cents per share with full franking on 25 September.
That's 36% higher than the FY24 final dividend.
The full-year FY25 dividend totalled 55 cents per share, up 38% from FY24.
Ex-dividend day presents a useful buy-the-dip opportunity for investors who want to purchase an ASX share.
The almost inevitable share price drop on ex-dividend day enables investors to pick up their targeted stock for less.
Based on the current Pro Medicus share price, the 12-month trailing dividend yield is just 0.2%.
Yep, it's tiny.
But do you think Pro Medicus investors care?
Probably not, given the more than 90% capital growth over the past year!
Not to mention the 1,049% growth over the past five years.
A recap on this ASX 200 healthcare share's FY25 results
In its full-year FY25 results, Pro Medicus reported a 39% year-over-year rise in net profit after tax (NPAT) to $115.2 million.
Revenue from ordinary activities increased 32% to $213 million.
The company reported a 36% lift in cash and other financial assets to $210.7 million, and it has no debt whatsoever.
Commenting on the result, Pro Medicus CEO Dr Sam Hupert said:
All key financial metrics headed in the right direction. And, importantly we continued our trajectory of strong, profitable growth.
The majority of the contracts that we signed were in the second half of the year and will come on stream this coming year and beyond, so there is a very sizeable revenue pathway in front of us…
It was also a strong year for implementations as we were able to complete 7 implementations including Baylor, Scott and White which we completed in a three-month window.
We now have around 10% of the total addressable market in the US which is material, but it also means there is plenty of scope for further growth.
