Current Analysis: Bouygues
Image Source: Pexels
TM Editors' note: This article discusses a penny stock and/or microcap. Such stocks are easily manipulated; do your own careful due diligence.
Bouygues (BOUYY) is a French conglomerate made up of a disparate range of assets: a construction business, a TV business, and a telecom business.
It is one of the biggest construction companies in France and Europe with construction sales of around EUR 25 billion-EUR 30 billion and one of the four telecom operators in France, with both mobile and fixed operations and EUR 6 billion in revenue. It is also the owner of TF1, one of the main media and TV companies in France.
The company was founded in 1952 and is based in Paris, France.
Three key data points gauge Bouygues or any dividend-paying firm.
The key three are:
(1) Price
(2) Dividends
(3) Returns
Those three basic keys best tell whether any company has made, is making, and will make money.
BOUYY Price
Over the past year, Bouygues share price increased about 18% from $6.47 to $7.65 as of Tuesday’s market close.
If BOUYY trades in the range of $5.00 to $10.00 this next year, its recent $7.65 share price might rise to $8.80 by next year. Of course, Bouygues’s price could drop about the same $1.15 estimated amount, or more.
My annual upside estimate of $1.15 however, is about equal to the median of one-year price targets estimated by five analysts tracking BOUYY for brokers.
BOUYY Dividend
Bouygues has paid variable annual dividends since May, 2009, except for 2016. Bouygues’s most recent A dividend of $0.40 was declared March 22, 2023 to shareholders of record May 1st. The payout was made May 22nd.
The forward looking $0.40 annual dividend yields 5.18% at Friday’s $7.65 share price.
BOUYY Returns
To put it all together, add the estimated annual dividend of $0.40 to the price upside of $1.15 to find a $1.55 gross gain.
At Friday’s $7.65 share price, a little over $1000 would buy 131 shares.
A $10 broker fee (if charged), paid half at purchase and half at sale, would cost us about $0.076 per share.
Subtracting that likely $0.076 brokerage cost from the $1.55 gross gain produces a net gain of $1.474 X 131 shares = $193.01 for a 19.2% estimated net gain.
You might choose to pounce on Bouygues It is a 72 year-old Paris based congloerate.
Furthermore, the estimated $51.80 of annual dividend income from $1k invested is about 6.75 times greater than BOUYY’s recent $7.65 single share price.
The exact track of the Bouygues ongoing future price and dividend will be determined by market action.
Remember the true value of any stock is best realized through personal ownership of shares.
More By This Author:
Current Analysis: Ardmore Shipping
Current Analysis: Sonic Healthcare
Current Analysis: Chemical Works Of Gedeon Richter
Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...
more