FedEx Stock Earns $500 A Month Ahead Of Q3 Earnings

(CTN News) – FedEx Corporation (NYSE: FDX) is scheduled to release its earnings results for the third quarter of 2024 following the closing bell on March 21, 2024.

According to analysts, the Memphis, Tennessee-based company will report quarterly earnings of $3.46 per share, up from $3.41 per share in the prior year. It is estimated that FedEx will generate $22.06 billion in quarterly revenue, according to data published by Benzinga Pro.

FedEx and Amazon.com Inc (NASDAQ: AMZN) are reportedly exploring potential collaborations, seeking to benefit both companies. According to a report in the Wall Street Journal, FedEx and Amazon discussed accepting Amazon returns at its retail sites, enhancing business portfolio.

Several investors may have been prompted to consider the possibility of dividend gains after recently received a great deal of media attention. Currently, FedEx’s dividend yield is 1.94%, which represents a quarterly dividend of $1.26 a share ($5.04 a year) and represents a dividend of $1.26 per share ($5.04 per year).

In order to determine how to earn $500 monthly from FedEx, we will start with the yearly target of $6,000 ($500 x 12 months).

Divide this amount by FedEx’s $5.04 dividend: $6,000 / $5.04 = 1,190 shares.

A shareholder would have to own approximately $309,388 worth of FedEx, or 1,190 shares, in order to generate a $500 monthly dividend income.

The same calculation can be performed with a more conservative goal of $100 monthly ($1,200 annually): $1,200 / $5.04 = 238 shares, or $61,878 to generate a $100 monthly dividend income. The dividend yield is subject to change on a rolling basis since both the dividend payment and the stock price fluctuate over time.

Dividend yield is calculated by dividing the dividend payment by the current stock price. A change in the stock price will also result in a change in dividend yield.

As an example, if a stock is currently trading at $50 and pays an annual dividend of $2, its dividend yield will be 4%. A share price increase of $60, however, would result in a dividend yield of 3.33% ($2/$60).

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