TJX Companies, Inc. (NYSE:TJX) will release its second-quarter earnings report before the opening bell on Wednesday, Aug. 19.
Analysts expect the company to report quarterly earnings of $1.19 per share, up from $1.10 per share in the year-ago period. The consensus estimate for TJX’s quarterly revenue is $15.17 billion. It reported $14.4 billion last year, according to Benzinga Pro.
On May 20, TJX Companies reported better-than-expected first-quarter financial results and raised its FY27 GAAP earnings guidance.
With the recent buzz around TJX, some investors may be eyeing potential gains from the company’s dividends too. As of now, TJX has an annual dividend yield of 1.27%, with a quarterly dividend of 48 cents per share ($1.92 per year).
So, how can investors leverage its dividend yield to pocket a regular $500 per month?
To earn $500 per month or $6,000 annually from dividends alone, you would need an investment of approximately $471,406 or around 3,125 shares. For a more modest $100 per month or $1,200 per year, you would need $94,281 or around 625 shares.
To calculate: Divide the desired annual income ($6,000 or $1,200) by the dividend ($1.92 in this case). So, $6,000 / $1.92 = 3,125 ($500 per month), and $1,200 / $1.92 = 625 shares ($100 per month).
Note that dividend yield can change on a rolling basis, as the dividend payment and the stock price both fluctuate over time.
How that works: The dividend yield is computed by dividing the annual dividend payment by the stock’s current price.
For example, if a stock pays an annual dividend of $2 and is currently priced at $50, the dividend yield would be 4% ($2/$50). However, if the stock price increases to $60, the dividend yield drops to 3.33% ($2/$60). Conversely, if the stock price falls to $40, the dividend yield rises to 5% ($2/$40).
Similarly, changes in the dividend payment can impact the yield. If a company increases its dividend, the yield will also increase, provided the stock price stays the same. Conversely, if the dividend payment decreases, so will the yield.
TJX Price Action: Shares of TJX fell 0.8% to close at $150.85 on Monday.
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