Bunge Global SA (NYSE:BG) will release its first-quarter financial results before the opening bell on Wednesday.
Analysts expect the company to report quarterly earnings at $1.30 per share, down from $3.04 per share in the year-ago period. Bunge projects quarterly revenue of $13.18 billion, compared to $13.42 billion a year earlier, according to data from Benzinga Pro.
On April 24, Bunge along with Repsol (OTC:REPYY) disclosed a significant advancement in Europe's renewable energy sector. The company introduced camelina and safflower, classified as intermediate novel crops, into the renewable fuel production process.
With the recent buzz around Bunge, some investors may be eyeing potential gains from the company's dividends too. As of now, Bunge offers an annual dividend yield of 3.50%, which is a quarterly dividend amount of 68 cents per share ($2.72 a year).
To figure out how to earn $500 monthly from Bunge, we start with the yearly target of $6,000 ($500 x 12 months).
Next, we take this amount and divide it by Bunge's $2.72 dividend: $6,000 / $2.72 = 2,206 shares.
So, an investor would need to own approximately $171,671 worth of Bunge, or 2,206 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 / $2.72 = 441 shares, or $34,319 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.
BG Price Action: Shares of Bunge fell by 1.8% to close at $77.82 on Monday.
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