How to Earn $500 a Month from Greenbrier Companies Stock Before Q2 Earnings Release

Greenbrier Companies, Inc. (NYSE:GBX) plans to release its second quarter financial results on April 5, 2024, before the opening of Granite.

Analysts expect the Lake Oswego, Oregon-based company to report second-quarter earnings of 86 cents per share, down from 99 cents a year ago. Greenbrier is expected to post quarterly revenue of $843.28 million, according to Benzinga Pro.

On January 5, Greenbrier reported better-than-expected first quarter earnings.

With all the recent buzz surrounding Greenbrier, some investors may be eyeing the potential benefits of the company's dividend. Currently, Greenbrier's dividend yield is 2.20%, which translates to a quarterly dividend of 30 cents per share ($1.20 per year).

To figure out how to earn $500 per month from Greenbrier, we first need to figure out an annual goal of $6,000 ($500 x 12 months).

We then divide this amount by Greenbrier's $1.20 dividend: $6,000 / $1.20 = 5,000 shares.

As a result, an investor would need to hold approximately $272,400 worth of Greenbrier stock, or 5,000 shares, in order to receive $500 per month in dividend income.

Assuming a conservative investor target of $100 per month ($1,200 per year), we can perform the same calculation: $1,200 / $1.20 = 1,000 shares, or $54,480 to receive $100 per month in dividend income.

See more of GBX's earnings

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Note that the dividend yield rolls over as dividend payments and stock prices fluctuate.

Dividend yield is calculated by dividing the dividends paid each year by the stock price where it was paid. As the stock price changes, the dividend yield also changes.

For example, if a stock pays a dividend of $2 per year and its price is $50, the dividend yield is 4%, but if the stock price rises to $60, the dividend yield drops to 3.33% ($2/$60).

Conversely, if the stock price falls to $40, the dividend yield will increase to 5% ($2/$40).

In addition, dividend payments themselves change over time, which also affects the dividend yield. If a company increases its dividend payment, the dividend yield will increase even if the share price remains unchanged. Similarly, if a company decreases its dividend payment, the dividend yield will decrease.

GBX price trend:Shares of Greenbrier rose 6% to close at $54.48 on Wednesday.

Read more Wall Street's Best Analysts Recommend These 3 Real Estate Stocks With Dividend Yields Over 3%

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This article, "How to Earn $500 a Month from Greenbrier Companies Stock Before Q2 Earnings Release," originally appeared on Benzinga.com.

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