Some of the bank’s investors may be eyeing potential dividend gains. Currently, the annual dividend yield at Goldman Sachs is 1.71%, with a quarterly dividend of $4.50 per share ($18.00 per year).
So, how can investors use 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 $351,412 or around 333 shares. For a more modest $100 per month or $1,200 per year, you would need $70,704 or around 67 shares.
To calculate: Divide the desired annual income ($6,000 or $1,200) by the dividend ($18.00 in this case). So, $6,000 / $18.00 = 333 ($500 per month), and $1,200 / $18.00 = 67 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.
