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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.

Automatic Bank Services Ltd (ABANF) was incorporated in 1978 and is based in Holon, Israel.

The company serves as a central junction and a national Israeli infrastructure for clearing credit cards.

It also works with credit card companies as both a clearing and issuing company.

Three key data points gauge ABANF 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.

ABANF Price

Automatic’s share price rose over 71% in the past year from $3.50 to $6.00 as of Friday’s closing price.

ABANF Dividends

Automatic Bank Services has paid increasing annual dividends since March 2020.

The current forward-looking annual dividend of $0.20 yields 3.34% per Friday’s $6.00 closing price.

ABANF Returns

Putting it all together, a $0.81 estimated gross gain per share shows up when adding Automatic Bank Services’ annual $0.20 dividend to an estimated $0.61 annual price gain. 

That four-and-a-half-year average annual price gain, plus the dividend, makes that $0.81 gross gain.

A little over $1000 invested at the recent $6.00 share price would buy 167 shares, which multiply the $0.81 gross gain estimate up to $135.00

Furthermore, over 25% of that $135.00 gain comes from the $33.40 in annual dividends generated from your $1,000 investment.

Besides, the $135.00 annual dividend amounts to over 22.5 times the recent $6.00 single-share price.

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

Therefore, you may choose to pounce on Automatic Bank Services and its 3.34% dividend yield along with its 5-year dividend record.

The exact track of ABANF’s 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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