How To Earn $500 A Month From Caleres Stock Ahead Of Q4 Earnings

Some investors may be eyeing potential gains from Caleres, Inc.'s (NYSE: CAL) dividends after the company releases its fourth quarter earnings report before the opening bell on March 19, 2024.

The St. Louis, Missouri-based footwear company currently offers an annual dividend yield of 0.72%, which is a quarterly dividend amount of 7 cents per share (28 cents 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 $835,731 or around 21,429 shares. For a more modest $100 per month or $1,200 per year, you would need $167,154 or around 4,286 shares.

Read This: Top 5 Industrials Stocks That May Fall Off A Cliff In Q1

To calculate: Divide the desired annual income ($6,000 or $1,200) by the dividend ($0.28 in this case). So, $6,000 / $0.28 = 21,429 ($500 per month), and $1,200 / $0.28 = 4,286 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.

CAL Price Action: Analysts expect the company to report quarterly earnings at 85 cents per share, up from 65 cents per share in the year-ago period.

Caleres is projected to post revenue of $694.33 million, compared to $696.43 million in the year-earlier quarter, according to data from Benzinga Pro.

Shares of Caleres gained 1.7% to close at $39.00 on Friday.

Read More: Insiders Buying United Fire Group And 3 Other Stocks

Image: Courtesy of Caleres