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Rexel SA (RXLSF) is a provider of electrical products and services to residential, nonresidential, and industrial markets.

Their product offerings include electrical equipment such as appliances and accessories, cables and routing, lighting, security and communication, home automation, climate control, and building management systems used in the construction, renovation, and maintenance of buildings and infrastructures.

Clients include small and midsize installers, large installers and facility managers, commercial companies, and industrial customers. Rexel's largest end market in Europe.

It operates a network of approximately 1,900 branches in 21 countries. The company was founded in 1967 and is headquartered in Paris, France.

Three key data points gauge Rexel SA 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.
 

RXLSF Price

Over the past year, Rexel’s share price increased about 20.4% from $14.90 to $23.58 as of Thursday’s market close.

If RXLSF stock trades in the range of $15.00 to $30.00 this next year, its recent $23.58 share price might rise to $25.60 by next year. Of course, RXLSF’s price could drop about the same $2.02 estimated amount or more.

My upside estimate of $2.02, however, is about at the mid-point of the average annual price swing shown over the past three years.
 

RXLSF Dividend

Rexel SA has paid variable Annual dividends since June 30, 2011, except for 2020 when the dividend was skipped.  Rexel’s most recent A dividend, as of September 1 to shareholders of record August 24, was $2.64.

That measures up to an annual forward-looking yield of 11.20%.
 

RXLSF Returns

Add a $2.64 anticipated annual dividend to Rexel’s estimated $2.02 possible price upside, revealing a $4.66 estimated gross gain per share for the coming year.

At Thursday’s $23.58 closing price, a little over $1000 would buy 42 shares.

A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.24 per share.

Subtracting that likely $0.24 brokerage cost from my estimated $4.66 estimated gross gain per share makes a net gain of $4.42 X 42 shares = $185.64 or about an 18.5% net gain.

This might be about time to pounce on Resel SA shares. But beware, RXLSF is a Paris Electronics and Computer distribution company paying variable annual dividends for twelve years, minus one. Furthermore, the estimated $112.00 annual dividend from $1000 invested comes in at 4.75 times greater than the recent $23.58 single share price. The question is what annual dividend payments are forthcoming?

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

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