How To Earn $500 A Month From Intuit Stock Ahead of Q1 Earnings Report

Intuit Inc. INTU is expected to release its first-quarter financial results for fiscal year 2024, after the closing bell on Nov. 28, 2023.

Analysts expect the company to report quarterly earnings at $1.98 per share, up from year-ago earnings of $1.66 per share. The company’s revenue might come in at $2.88 billion for the quarter.

With the buzz around Intuit ahead of quarterly earnings, some investors may be eyeing potential gains from the company’s dividends too. As of now, Intuit offers an annual dividend yield of 0.64%, which is a quarterly dividend amount of 90 cents per share ($3.60 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 $940,305 or around 1,667 shares. For a more modest $100 per month or $1,200 per year, you would need $187,835 or around 333 shares.

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To calculate: Divide the desired annual income ($6,000 or $1,200) by the dividend ($3.60 in this case). So, $6,000 / $3.60 = 1,667 ($500 per month), and $1,200 / $3.60 = 333 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.

INTU Price Action: Shares of Intuit were down 0.3% to $562.19 in early trading on Monday.

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