A portfolio of stocks I've been building since September 3, 2019, named Volio, will eventually hold 52 dividend dogs. Volio is the fifth portfolio I've built (at a one dividend dog per-week pace) since 2014. Five portfolios = V for Volio!
Today I'm reviewing the fifth of five technology sector stocks striving to join my Volio folio. This could be my thirty-first pick for Volio!
That technology sector includes nineteen industries ranging from communication equipment, computers, consumer electronics, and contract manufacturing, to health, information technology and services, to internet, scientific instruments, software, solar, and all such techno-marvels.
My subject today is a large-cap semiconductor company named, Maxim Integrated Products Inc. Their trading ticker symbol is MXIM. This is my third report on Maxim Integrated Products Inc. Most recently you heard me describe this company on December 16, 2019, for this Portfolio.
Maxim Integrated makes high-performance analog and mixed-signal integrated circuits.
The company offers a wide range of products serving a host of analog-intensive applications, including power management, audio conversion, and sensors.
Maxim supplies its diverse product portfolio to a broad base of customers in the communications, computing, industrial, automotive, and consumer-related end markets.
Maxim Integrated Products, Inc. was founded in 1983 and is headquartered in San Jose, California.
I use three key data points to gauge dividend equities or funds like Maxim Integrated Products Inc:
(1) Price
(2) Dividends
(3) Returns
Besides those three, several other keys will finally unlock an equity or fund in which to invest, or not.
Those three basic keys, however, best tell whether a company has made, is making, and will make money.
MXIM Price
Maxim's price per share closed at $47.84 yesterday. A year ago their price was $56.83. Thus, in the past year, their market price dropped $8.99 or just about 19%.
Assuming Maxim's stock trades in the range of $40 to $60 this next year, its recent $47.84 price might rise by $7.16 to reach $55.00 by April 3, 2021, assuming upward price momentum continues.
MXIM Dividends
Maxim's last declared quarterly dividend was $0.48 paid March 13th. That $0.48 Q dividend projects an annual payout of $1.92 to yield 4.01% at yesterday's $47.84 share price.
MXIM Gains?
Adding the $1.92 annual estimated dividend to my $7.16 estimate of Maxim Integrated Products Inc price upside shows a $9.08 potential gross gain, per share, which will be reduced by any costs to trade those shares.
So when we put a little under $1,000.00 today in Maxim Integrated Products Inc at its recent $47.84 share price, we'd buy 20 shares of MXIM.
A $10 broker fee paid half at purchase and half at sale could cost us $0.50 per share.
Subtract that $0.50 brokerage cost from my estimated $9.08 gross gain per share results in a net gain of $8.58 X 20 shares = $171.60 or a 17.2% net gain on a $956.80 investment.
Therefore, Maxim Integrated Products Inc, whose trading ticker symbol is MXIM shows a possible 17.2% net gain including a 4.01% dividend yield. It could be more, it could be less.
The above speculation is based on past performance and supposition. Only time and money invested will tell if Maxim Integrated Products Inc is worth the expenditure.
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