Current Report: Yara International Could Grow 22.6% This Year

Yara International is poised for a 22.6% total return this year, fueled by a 5.40% dividend yield and historical price gains.

depositphotos_124144796-stock-photo-increase-dividends-concept.jpg
Source: DepositPhotos

The company was founded in 1905 and is headquartered in Oslo, Norway.

Yara International ASA (YARIY) produces, distributes, and sells fertilizers through six segments: (1) Europe, (2) Americas, (3) Africa and Asia, (4) Global Plants and Operational Excellence, (5) Clean Ammonia, and (6) Industrial Solutions.

Three key data points gauge YARIY (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.

YARIY Price

Yara International’s single share price increased $3.53 (or 19.4%) from $18.19 to $21.72 in the past year, per Tuesday’s opening market report.

No analysts cover the stock. However, the YARIY past two-year price history shows an average $3.73 annual price gain, which I’ll use for its annual return after I discuss dividends.  

YARIY Dividends

Yara International has paid variable annual dividends since May 2005 with no COVID-year pauses.  The latest annual amount of  $1.17 was paid June 4th (to shareholders on record as of May 15th), yielding 5.40% (per Monday’s opening market report)

YARIY Returns

Putting it all together, as of June 30th, a possible gross gain of $4.90 was projected. The $3.73 per share historic annual gain was added to the $1.17 forward-looking annual dividend to equal a $4.90 gross gain.

A little under $1000 invested in YARIY at Tuesday’s $21.72 opening share price would buy 46 shares which multiply the $4.90 gross gain to $225.60 for the coming year, or about 22.6%.

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.

YARIYs projected annual dividend from $1K invested is $54.00. So Yara International ASA shows a dividend from $1,000 invested near 4.5 times greater than its $21.72 recent single share price.

The exact track of YARIY’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.

STOCKS IN THIS ARTICLE

Comments