Analysts expect the company to report quarterly earnings of $3.60 per share, up from $2.80 per share a year ago. The consensus estimate for GM’s quarterly revenue is $48.6 billion. It reported $48.59 billion last year, according to Benzinga Pro.
GM has topped EPS estimates in each of the last 12 quarters, dating back to the third quarter of 2023.
With the recent buzz around General Motors, some investors may be eyeing potential gains from the company’s dividends too. As of now, GM has an annual dividend yield of 0.86%, with a quarterly dividend of 18 cents per share (72 cents a year).
To earn $500 monthly from General Motors, we start with a yearly target of $6,000 ($500 x 12 months).
Next, we divide that amount by GM’s $0.72 dividend: $6,000 / $0.72 = 8,333 shares.
So, an investor would need to own approximately $699,639 worth of General Motors, or 8,333 shares to generate a monthly dividend income of $500.
Assuming a more conservative goal of $100 monthly ($1,200 annually), we do the same calculation: $1,200 / $0.72 = 1,667 shares, or $139,961, to generate $100 in monthly dividends.
Dividend yield can change on a rolling basis because the dividend payment and the stock price both fluctuate over time.
The dividend yield is calculated by dividing the annual dividend payment by the current stock price. As the stock price changes, the dividend yield changes too.
For example, if a stock pays an annual dividend of $2 and its current price is $50, its dividend yield would be 4%. However, if the stock price rises to $60, the dividend yield falls to 3.33% ($2/$60).
Conversely, if the stock price decreases to $40, the dividend yield would increase to 5% ($2/$40).
Further, the dividend payment itself can also change over time, which can also impact the dividend yield. If a company increases its dividend payment, the dividend yield will increase even if the stock price remains the same. Similarly, if a company decreases its dividend payment, the dividend yield will decrease.
GM Price Action: General Motors shares gained 0.4% to close at $83.96 on Friday.
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