Analysts expect the company to report quarterly earnings of 12 cents per share. That’s down from 14 cents per share in the year-ago period. The consensus estimate for Nike’s quarterly revenue is $10.85 billion. It reported $11.1 billion last year, according to Benzinga Pro.
According to recent news, Nike appointed David M. Denton as CFO on Tuesday, succeeding Matthew Friend.
With the recent buzz around Nike, some investors may be eyeing potential gains from the company’s dividends. As of now, the apparel company has an annual dividend yield of 3.92%, with a quarterly dividend of 41 cents per share ($1.64 per year).
To figure out how to earn $500 monthly from Nike, we start with the yearly target of $6,000 ($500 x 12 months).
Next, we divide this amount by NKE’s $1.64 dividend: $6,000 / $1.64 = 3,659 shares.
So, an investor would need to own approximately $153,019 worth of Nike, or 3,659 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 / $1.64 = 732 shares, or $30,612 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. Currently, Nike pays quarterly dividends on January 5, April 5, July 5 and October 5.
If a company increases its dividend payment, the dividend yield will increase even if the stock price remains the same. Similarly, if a company reduces its dividend payments, its dividend yield will decline.
NKE Price Action: Shares of Nike fell by 1.3% to close at $41.82 on Wednesday.
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