Current Analysis: Daimler Truck Holding
Image Source: Unsplash
Daimler Truck Holding AG (DTRUY) is a commercial vehicle manufacturer. It operates through various brands including Bharat Benz, Freightliner, Fuso, Mercedes-Benz, Setra, Thomas Built Buses, and Western Star.
Its products include Trucks, Buses, and Financial Services. The Group has five reportable segments: (1)Trucks North America, (2) Mercedes-Benz, (3) Trucks Asia, (4) Daimler Buses, and (5) Financial Services.
It generates maximum revenue from Trucks North America which develops, manufactures, and sells trucks under the Freightliner and Western Star brands in North America. The segment’s product range also includes buses of Thomas Built Buses as well as bus chassis.
The company was founded in 1896 and is headquartered in Leinfelden-Echterdingen, Germany.
Three key data points gauge Daimler Truck Holding 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.
DTRUY Price
Over the past year, Daimler Truck's share price went up about 34.26% from $15.79 to $21.20 as of Monday’s market close.
If Daimler Truck shares trade in the range of $15 to $30.00 this next year, its recent $21.20 share price might rise to $25.00 by next year. Of course, Daimler Truck’s price could drop about the same $3.80 estimated amount or more.
My annual upside estimate of $3.80 however, is $1.61 less than DTRUY's annual price gain last year.
DTRUY Dividend
Daimler Truck has paid variable annual dividends for two years, DTRUY’s most recent dividend of $1.01 was declared on April 23rd for shareholders of record on May 16th to be paid on May 31st.
A forward-looking $1.01 annual dividend yields 4.78% at Monday’s $21.20 share price.
DTRUY Returns
To put it all together, add the Daimler Truck projected annual dividend of $1.01 to the estimated price upside of $3.22 to get a $4.23 estimated gross gain for the coming year.
At Monday’s $21.20 share price, a little over $1000 would buy 47 shares.
A $10 broker fee (if charged), paid half at purchase and half at sale, would cost us about $0.21 per share.
Subtracting that likely $0.21 brokerage cost from the $4.23 gross gain reveals a net gain of $4.02 X 47 shares = $188.94 for almost a 19% estimated net gain on the year.
You might choose to pounce on Daimler Truck Holding AG It is a 128-year-old dividend-paying German-based truck, bus, and financial firm that has only a two-year track record paying dividends. Furthermore, the $47.80 estimated dividend income from $1k invested is 2.25 times greater than Daimler Truck’s recent $21.20 share price.
The exact track of Daimler’s upcoming future price and dividend will entirely 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: DHL Group (DPSGY)
Current Analysis: Smith & Nephew
Current Analysis: MediPal Holdings Corporation
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 solicitation, ...
more