That would set me up to potentially collect another $ 94.00 in cash income ($ 0.47
dividend per share X 200 shares)... bringing my cost - basis down to just $ 84.55.
Not exact matches
But the company did say OS
X Mountain Lion would be available Wednesday and announced that Apple's board had declared a cash
dividend of $ 2.65
per share of common stock, payable Aug. 16.
- Applying a 3.5
x revenue multiple to WU.com, which is a discount to Xoom's 4.8
x revenue takeover multiple, and 15
x EV / FCF to WU's remaining businesses (retail C2C, C2B, and B2B), which is a substantial discount to MoneyGram's 21
x EV / FCF takeover valuation, they derive an intrinsic value estimate of ~ $ 33
per share for WU at the end of 2020, offering ~ 72 % upside, or a 3.5 - year IRR of ~ 20 % including the
dividend (3.7 % current yield).
Let's take Company
X. Company
X, last year, paid out a
dividend of $ 2
per share.
For example, Company
X with earnings
per share of $ 1 and
dividends per share of $ 0.60 has a payout ratio of 60 %.
As
per paragraph 3 of my answer, a policy of no
dividend and no borrowing leads to lower borrowing vs the «market capital» (
shares x price) of the company (called lower gearing).
If these companies continue these policies at the same rates and continue to earn 10 % of their value during Year 2, investors holding
shares of ABC will see even greater
dividend payouts, earning $ 10.50
per share ($ 1.05 B
x 10 % = $ 105M, $ 105M / 2 = $ 52.5 M, $ 52.5 M / 5M = $ 10.50) at the end of Year 2 for a
dividend yield of 10.5 %.
For example, if a fund of investments pays a
dividend of 50 cents on a quarterly basis and pays an extra
dividend of 12 cents
per share because of a non-recurring event from which the company benefited, the
dividend rate is $ 2.12 ($ 0.50
x 4 + $ 0.12)
per year.
Still, with the
shares trading about 4.5
x projected 2011 earnings and the company paying a significant
dividend — in 2010 it was $ 1.54
per ordinary common
share (which translates to about $ 1.07
per ADR), down from $ 1.75 in 2009 and $ 2.20 in 2008 — this makes for an interesting value proposition.
If they owned 200
shares, then the
dividend amount would be $ 50.00
per quarter (200
x $ 0.25).