Transcosmos Inc. (TRCLF) is a Japan-based company that provides business process outsourcing services. The company reports four types, namely outsourcing services, digital marketing, contact center, and e-commerce one-stop services.

The outsourcing services support clients’ noncore operations, including back-office operations, accounting, human resources, IT operation and maintenance, and others.

The digital market services support clients’ marketing activities by internet infrastructure.

The contact center services help customers deal with customer inquiries and complaints.

The e-commerce one-stop services cover e-commerce site construction, customer care, internet promotion, and analytics.

The company was founded in 1966 and is headquartered in Tokyo, Japan.

Three key data points gauge Transcosmos Inc 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.

TRCLF Price

Over the past year, Transcosmos’s share price increased about 5.4% from $21.40 to $23.51 as of Thursday’s market close.

If TRCLF stock trades in the range of $20.00 to $30.00 this next year, its recent $23.51 share price might rise to $25.00 by next year. Of course, Transcosmos’s price could drop about the same $1.49 estimated amount or more.

My upside estimate of $1.49, however, is based on the average annual price performance of the past ten years.

TRCLF Dividend

Transcosmos has paid variable Annual dividends increasing since June 21, 2017. TRCLF’s most recent A dividend, paid June 22 to shareholders of record March 30th, was $0.88. That annual return casts a forward yield of 3.75% per Thursday’s closing price.

TRCLF Returns

Add the $0.88 anticipated annual dividend to Transcosmos’s estimated $1.49 possible price upside, reveals a $2.37 potential gross gain per share for the coming year.

At Thursday’s $23.51 closing price, a little over $1000 would buy 43 shares.

A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.23 per share.

Subtracting that likely $0.23 brokerage cost from my estimated $2.37 gross gain per share makes a net gain of $2.14 X 43 shares = $92.02 or about a 9.1% net gain.

This could be time to pounce on Transcosmos Inc shares. But beware, TRCLF is a 58-year-old business process services firm paying A dividends for the past six years. However, the estimated $37.50 dividend from $1000 invested comes in at 1.6 times more than the recent $23.51 single share price. The choice is yours. The dividend from $1K invested exceeds the single share price by 1.6 times.

Remember the true value of any stock is best realized by your personal ownership of shares.

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