Stock Analysis: CEZ A.S.
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CEZ a.s (CEZYY) is a Czech energy company of which the government of the Czech Republic is the majority shareholder. Its core business is the generation, distribution, trade, and sale of electricity and heat.
With its subsidiaries, the company operates a portfolio of both conventional and renewable energy power plants. Total energy production is mainly split between facilities utilizing thermal and nuclear inputs. CEZ segments comprise Generation; Distribution; Sales and Mining. Most of its revenue gets derived from the Generation segment.
CEZ, a. s. was incorporated in 1992 and is headquartered in Prague, the Czech Republic.
Three key data points gauge
CEZ a.s 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.
CEZYY Price
Over the past year, CEZYY share price grew 20% from $17.50 to $21.00 as of Friday’s market close.
If CEZYY trades in the range of $16.00 to $32.00 this next year, its recent $21.00 share price might rise to $24.00by next year. Of course, CEZ a.s price could drop about the same $3.00 estimated amount, or more.
My annual upside estimate of $3.00 however, is about $3.16 under the all time high price reached June 21, 2022.
CEZYY Dividend
CEZ a.s has paid Annual variable dividends since August 28, 2019.CEZYY’s most recent A dividend of $3.32 was paid August 16, 2023 to shareholders of record June 29th. The forward looking $2.16 annual dividend yields 10.29% at Friday’s $21.00 share price.
CEZYY Returns
To put it all together, add the estimated annual dividend of $2.16 to the price upside of $3.00 to find a $5.16 gross gain.
At Friday’s $21.00 share price, a little over $1000 would buy 48 shares.
A $10 broker fee (if charged), paid half at purchase and half at sale, would cost us$0.21 per share.
Subtracting that likely $0.21 brokerage cost from the $5.16 gross gain produces a net gain of $4.95 X 48 shares = $237.60 for a 23.5% estimated net gain.
You might choose to pounce on CEZ a.s. It is a 35 year-old Prague, CZ-based, nationalized energy outfit. Furthermore, the estimated $102.90 of dividend income from $1k invested is almost 5 times greater than CEZYY’s $21.00 single shareprice.
The exact track of CEZ a.s ongoing future price and dividend is yet to be known.
Remember the true value of any stock is best realized through personal ownership of shares.
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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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