How to Make $500 a Month on AZZ Stock Ahead of Q1 Earnings Report

AZZ Inc. (NYSE:AZZ) will report first quarter financial results after the close of business on Wednesday, July 10.

Analysts expect the Fort Worth, Texas-based company to report quarterly earnings of $1.28 per share, up from $1.14 per share in the same period last year. AZZ expects revenue of $399.38 million for the quarter, according to Benzinga Pro.

On June 27, AZZ announced a cash dividend for the first quarter of fiscal 2025 of 17 cents per share.

Given the recent buzz around AZZ, some investors may also be looking at potential dividend gains from the company. AZZ currently offers an annual dividend yield of 0.90%. That’s a quarterly dividend of 17 cents per share (68 cents per year).

So how can investors leverage the dividend yield and consistently earn $500 per month?

To earn $500 per month or $6,000 per year in dividends alone, you would need an investment of about $665,065 or about 8,824 shares. To earn a more modest $100 per month or $1,200 per year, you would need $133,028 or about 1,765 shares.

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To count: Divide the desired annual income ($6,000 or $1,200) by the dividend ($0.68 in this case). So, $6,000 / $0.68 = 8,824 ($500 per month), and $1,200 / $0.68 = 1,765 shares ($100 per month).

It is important to remember that the dividend yield can be cyclical because both the dividend payout and the stock price fluctuate over time.

How it’s working: The dividend yield is calculated by dividing the annual dividend amount paid by the current share price.

For example, if a stock pays an annual dividend of $2 and is currently trading at $50, the dividend yield will be 4% ($2/$50). However, if the stock price increases to $60, the dividend yield will decrease to 3.33% ($2/$60). Conversely, if the stock price decreases to $40, the dividend yield will increase to 5% ($2/$40).

Similarly, changes in dividend payouts can affect profitability. If a company increases its dividend, profitability will also increase, provided the share price remains the same. Conversely, if the dividend payout decreases, profitability will also decrease.

AZZ price action: AZZ shares fell 1.2% to close Tuesday at $75.37.

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