# How To Earn \$500 A Month From Maximus Stock Ahead Of Q2 Earnings

###### Zinger Key Points
• A more conservative goal of \$100 monthly dividend income would require owning 1,000 shares of Maximus.
• An investor would need to own \$421,250 worth of Maximus to generate a monthly dividend income of \$500.

Maximus, Inc. MMS is expected to release earnings results for its second quarter, after the closing bell on Wednesday.

Analysts expect the McLean, Virginia-based company to report quarterly earnings at \$1.02 per share, up from 52 cents per share in the year-ago period. Maximus is projected to post quarterly revenue of \$1.28 billion, according to data from Benzinga Pro.

On April 5, Maximus announced a quarterly cash dividend of 30 cents per share, payable on May 31, 2024.

With the recent buzz around Maximus, some investors may be eyeing potential gains from the company's dividends. As of now, Maximus has a dividend yield of 1.42%, which is a quarterly dividend amount of 30 cents a share (\$1.20 a year).

To figure out how to earn \$500 monthly from Maximus, we start with the yearly target of \$6,000 (\$500 x 12 months).

Next, we take this amount and divide it by Maximus \$1.20 dividend: \$6,000 / \$1.20  = 5,000 shares

So, an investor would need to own approximately \$421,250 worth of Maximus, or 5,000 shares to generate a monthly dividend income of \$500.

Assuming a more conservative goal of \$100 monthly (\$1,200 annually), we do the same calculation: \$1,200 / \$1.20 = 1,000 shares, or \$84,250 to generate a monthly dividend income of \$100.

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Note that dividend yield can change on a rolling basis, as the dividend payment and the stock price both fluctuate over time.

The dividend yield is calculated by dividing the annual dividend payment by the current stock price. As the stock price changes, the dividend yield will also change.

For example, if a stock pays an annual dividend of \$2 and its current price is \$50, its dividend yield would be 4%. However, if the stock price increases to \$60, the dividend yield would decrease to 3.33% (\$2/\$60).

Conversely, if the stock price decreases to \$40, the dividend yield would increase to 5% (\$2/\$40).

Further, the dividend payment itself can also change over time, which can also impact the dividend yield. If a company increases its dividend payment, the dividend yield will increase even if the stock price remains the same. Similarly, if a company decreases its dividend payment, the dividend yield will decrease.

MMS Price Action: Shares of Maximus rose 0.2% to close at \$84.25 on Tuesday.

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