FedEx Corporation (NYSE:FDX) will release earnings results for its second quarter after the closing bell on Thursday.

Analysts expect the company to report quarterly earnings at $4.10 per share, up from $4.05 per share in the year-ago period. The consensus estimate for FedEx’s quarterly revenue is $22.79 billion. Last year, it reported $21.97 billion in revenue, according to Benzinga Pro.

The company has beaten analyst revenue estimates in four consecutive quarters and in five of the last 10 quarters overall.

With the recent buzz around FedEx, some investors may be eyeing potential gains from the company’s dividends too. As of now, FedEx has an annual dividend yield of 2.06%, with a quarterly dividend of $1.45 per share ($5.80 per year).

To figure out how to earn $500 monthly from FedEx, we start with the yearly target of $6,000 ($500 x 12 months).

Next, we take this amount and divide it by FedEx’s $5.80 dividend: $6,000 / $5.80 = 1,034 shares.

So, an investor would need to own approximately $291,805 worth of FedEx, or 1,034 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 / $5.80 = 207 shares, or $58,417 to generate a monthly dividend income of $100.

Note that dividend yield can change on a rolling basis, as 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 will also change.

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 increases to $60, the dividend yield would decrease 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.

FDX Price Action: Shares of FedEx slipped by 0.1% to close at $282.21 on Wednesday.

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