Stock Analysis: Rexel SA

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Rexel SA (RXLSF) is a provider of electrical products and services to residential, nonresidential, and industrial markets. Their products include (1) electrical equipment such as appliances and accessories, cables and routing, lighting, security and communication, home automation, climate control, and (2) 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 network of approximately 1900 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 share price increased 21% from $18.99 to $23.00 as of Monday’s market close.

If Rexel shares trade in the range of $19.00 to $28.00 this next year, its recent $23.00 share price might rise to $ 25.00 by next year. Of course, RXLSF price could drop about the same $ 2.00 estimated amount or more.

My annual upside estimate of $2.00 however, is $2.00 below the past single share price increase.


RXLSF Dividend

Rexel has paid variable Annual dividends since June 21, 2017. TRCLF’s most recent Annual dividend was paid May 11th to shareholders on record as of May 9th.The forward-looking $2.64 annual dividend yields 11.48% at Monday’s $23.00 share price.


RXLSF Returns

To put it all together, add the annual dividend of$2.64 to the price upside of $2.00 to find a $4.64 gross gain.

At Monday’s $23.00 share price, a little under $1000 would buy 43 shares.

A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.23 per share.

Subtracting that likely $0.23 brokerage cost from the $4.64 estimated gross gain per share produces a net gain of $4.41 X 43 shares = $189.63 for a 19% estimated net gain.

You might choose to pounce on Rexel. It is a 56-year-old French home and office electronics technology company. Furthermore, the estimated $114.80 of dividend income from $1k invested is near 5 times greater than Monday’s Rexel SA $23.00 single share price.

The exact track of Rexel SA ongoing future prices and dividends are 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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