The company was founded in 1973 and is headquartered in Belo Horizonte, Brazil.
Localiza Rent a Car S.A. (LZRFY) and its subsidiaries engage in car rental businesses in Brazil and internationally.
Three key data points gauge LZRFY (or any dividend-paying entity):
(1) Price
(2) Dividends
(3) Returns
Those three keys also indicate if any company has made, is making, and will make money.
LZRFY Price
Localiza’s single share price stayed flat in the past year, per Monday’s opening market report.
No analysts cover the stock. However, the average of the past ten-year price progression shows an average annual gain of about $0.23. Which I’ll use as an annual return, after I discuss LRZFY dividends.
LRZFY Dividends
Localiza Rent A Car has paid variable Quarterly dividends since February 2013. The most recent Q dividend of $0.1034 was paid August 31 (to shareholders of record July 16th, yielding 6.47% annually (per Monday’s opening market report)
LRZFY Returns
Putting it all together, as of August 17th, a possible gross gain of $0.64 was projected. The $0.23 per share average annual gain was added to the $0.41 forward-looking annual dividend to make that $0.64 gross gain.
A little over $1000 invested in Localiza Rent A Car at Monday’s $6.39 opening share price would buy 156.5 shares, which multiply the $0.64 gross gain to $100.16 for the coming year, or 10.01%.
My dividend dogcatcher rule is to only buy initial shares of a dividend stock that pay an annual dividend (from $1000 invested) that is greater than the cost of one share.
LRZFY’s projected annual dividend from $1K invested is $64.70, and that annual dividend proves to be just over 10 times more than the recent $6.39 single-share price.
The exact track of LRZFY’s future share price and dividend will entirely be determined by market action and company finances.
Remember, the best way to track stock performance and dividend payments is through direct ownership of company shares.
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