Daily Stock Analysis: Icahn Enterprises

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Icahn Enterprises LP is known by the trading ticker symbol, IEP.  It is listed in the Industrials sector as a  Conglomerate. This is my first-ever report on Icahn  Enterprises LP for my Vista stock Portfolio or any of my previous collections.

Icahn Enterprises LP is a provider of diversified business services in the United States. The company operates its business through varied segments which include Investment, Automotive, Energy, Food Packaging, Metals, Real Estate, Pharma, and Home Fashion. 

Among these, the Energy segment derives maximum revenue from the company. Geographically, it generates maximum revenue from the United States.

Icahn Enterprises L.P. was incorporated in 1987 and is headquartered in Sunny Isles Beach, Florida.

Three key data points gauge dividend equities or funds like Icahn Enterprises LP:

(1) Price

(2) Dividends

(3) Returns

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

IEP Price

Icahn Enterprises LP's price per share was $58.43 as of Friday's market close. One year ago its price was $55.86. So IEP's share price has increased 4.6% in the past year. 

If Icahn Enterprises stock trades in the range of $48.00 to $70.00 this next year, its recent $58.43 price might rise by $9.57 to reach $68.00 by August 16, 2022. My estimate is $2.00 under the target estimate ventured from a single broker.

IEP Dividends

Icahn's most recent regular quarterly dividend payout of  $2.00  was declared August 4th and is payable September 29. The annual payout of $8.00 would yield 13.69% based on Friday's $58.43 closing price. IEP has paid quarterly dividends for 16 years increasing annually.

IEP Returns

Adding the $8.00 annual IEP forward-looking dividend to my $9.57 price upside estimate shows a $17.57 potential gross gain, per share, to be reduced by any costs to trade IEP shares.  

At Friday's $58.43 price per share, a little under $1000 would buy 17 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at a sale and might cost us about $0.59 per share.

Subtract that maybe $0.59 brokerage cost from my estimated $17.57 gross gain per share results in a net gain of $16.98 X 17 shares = $288.66 for a 28.9% net gain on a $993.31 investment.

So it is that Icahn Enterprises LP shows a possible 28.9% net gain including a 13.69% forward estimated dividend yield. 

Over the next year at this time, a $1000 investment in Icahn Enterprises LP could generate $136.90 in cash dividends alone. And a single share bought at yesterday's closing price was $58.43! Thus, IEP share price is now about 43% of the dividend income from $1K invested. So, according to my dividend dogcatcher ideal, this is a good time to pick up Icahn Enterprises shares because the dividend from $1k invested exceeds the single share price by a little over two times. Consider yourself alerted. 

All of the estimates above are speculation based on the past history of Icahn Enterprises LP. Only time and money invested in this stock will determine its market value.

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 ...

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