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TM Editors' note: This article discusses a penny stock and/or microcap. Such stocks are easily manipulated; do your own careful due diligence.

Kingfisher (KGFHY) is a home improvement company with over 1,570 stores in eight countries across Europe. The company operates several retail banners that are focused on trade customers and general do-it-yourself needs.

Kingfisher’s main retail brands include B&Q, Screwfix, and TradePoint in the United Kingdom and Castorama and Brico Depot in France. The U.K. and France are Kingfisher’s largest markets, accounting for 81% of sales.

The company is the second-largest DIY retailer in Europe, with a leading position in the U.K. and a number-two position in France. The company also sells its products through e-commerce channels.

Kingfisher plc was incorporated in 1982 and is headquartered in London, the United Kingdom.

Three key data points gauge Kingfisher or any dividend-paying firm.

The key three are:

(1) Price

(2) Dividends

(3) Returns

Those three keys also best tell whether any company has made, is making, and will make money.

KGFHY Price

Over the past year, Kingfisher’s share price rose about 28.8% from $5.66 to $7.29 as of Wednesday’s market close. In the past eleven years, the company’s share price has never been less than $2.87 nor higher than $14.85.

If KGFHY shares trade in the range of $6.00 to $9.00 this next year, the recent $7.29 share price might rise by $1.01 to reach $8.30 in a year. Of course, KGFHY's price could also drop about the same $1.01 estimated amount or more.

My $1.01 upside estimate is based on the past year's performance.

KGFHY Dividend

Kingfisher PLC has paid variable semi-annual dividends since August 2014.  The most recent $0.22 SA dividend was declared on March 28th for shareholders of record on May 16th and was paid on June 16th. A forward-looking $0.31 annual dividend yields 4.25% at Wednesday’s closing price.

KGFHY Returns

Putting it all together, a $1.32 estimated one-year gross gain per share shows up when adding Kingfisher’s  $0.31 estimated annual dividend to the estimated price upside of $1.01, making that $1.32 gross gain per share.

A little under $1000 buys us 137 shares at the $7.29 share price.

A $10 broker fee (if charged), paid half at purchase and half at sale, might take about $0.07 per share out of the $1.32 annual estimated gross gain to give us a net gain of $1.25 X 137 shares = $171.25 for about a 17% estimated net gain for the year.

Furthermore, the $42.50 annual dividend income from $1K invested is just over 5.75 times more than Kingfisher’s $7.29 single share price. By these numbers, Kingfisher PLC may be an ideal dividend dog.

You might choose to pounce on Kingfisher PLC. It is a 52-year-old semi-annual dividend-paying London-based home improvement retailer with a 5-year record paying uninterrupted variable semi-annual dividends.

The exact track of KIngfisher’s 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.

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