Toll Brothers, Inc. (NYSE:TOL) has maintained regular dividend payments since 2017 and has increased its dividend payout annually for six consecutive years.
Ahead of the company’s third quarter earnings report after the closing bell on Tuesday, Aug. 18, some investors may be eyeing potential gains from those dividends. Currently, Toll Brothers has an annual dividend yield of 0.70%, which is a quarterly dividend amount of 26 cents per share ($1.04 a year).
So, how can investors exploit its dividend yield to pocket a regular $500 monthly?
To earn $500 per month or $6,000 annually from dividends alone, you would need an investment of approximately $856,870 or around 5,769 shares. For a more modest $100 per month or $1,200 per year, you would need $171,404 or around 1,154 shares.
To calculate: Divide the desired annual income ($6,000 or $1,200) by the dividend ($1.04 in this case). So, $6,000 / $1.04 = 5,769 ($500 per month), and $1,200 / $1.04 = 1,154 shares ($100 per month).
