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TM Editor's Note: This article discusses one or more penny stocks and/or microcaps. Such stocks are easily manipulated; do your own careful due diligence.

Founded in 1891 and based in Dallas, Texas, NL Industries, Inc. (NL) operates as a subsidiary of Valhi, Inc.

It operates in the component products industry in Europe, North America, the Asia Pacific, and internationally.

The company manufactures and sells mechanical and electronic cabinet locks and other locking mechanisms.

Three key data points gauge NL or any dividend-paying entity, namely:

(1) Price

(2) Dividends

(3) Returns

Those keys also indicate if any company has made, is making, and will make money.

NL Price

NL's share price dropped 13.7% last year from  $7.51 to $6.07 per Wednesday’s market price.

One analyst covers the stock.

The average annual price gain for the last five years has been $0.39.

That average would put the NL stock price for 2026 at $6.46.

Of course, the price could also stay flat or decline.

NL Dividends

NL has paid variable quarterly dividends since September 9, 1989.

The current forward-looking annual dividend of $0.36 yields 5.93%.

NL Returns

Putting it all together, a $0.75 estimated gross gain per share shows up when adding NL’s annual $0.36 dividend to the estimated $0.39 annual price gain.

A little over $1000 invested at the recent $6.07 share price would buy 188 shares which, multiply the $0.75 estimated gross gain to $140.70 for the coming year.

Nearly a third of that $141 gain comes from annual dividends generated from your $1,000 investment.

Furthermore, the $59.30 annual dividend income from investment is over 9.75 times greater than the recent $6.07 single-share price.

(A dividend dogcatcher rule is to only buy initial shares of a stock that pay an annual dividend from $1000 invested that is greater than the cost of a single share.)

Near ten times is a lot more.

Therefore, you could choose to pounce on NL Industries with its nearly ten times the share price payout.

The exact track of NLs future share price and dividends will entirely be determined by market action and company finances.

Remember, the best way to track stock performance and dividend payments is through direct ownership of company shares.

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