How To Earn $500 A Month From Constellation Brands Stock Ahead Of Q2 Earnings

Constellation Brands, Inc. (NYSE:STZ) will release second-quarter earnings after the closing bell on Tuesday, Oct. 6.

Some of the company’s investors may be eyeing potential dividend gains. Currently, Constellation Brands has an annual dividend yield of 3.65%, or a quarterly dividend amount of $1.03 per share ($4.12 a year).

To figure out how to earn $500 monthly from Constellation Brands, we start with the yearly target of $6,000 ($500 x 12 months).

Next, we divide that amount by STZ’s $4.12 dividend: $6,000 / $4.12 = 1,456 shares.

So, an investor would need to own approximately $164,339 worth of Constellation Brands, or 1,456 shares to generate a monthly dividend income of $500.

Assuming a more conservative goal of $100 monthly ($1,200 annually), we do the same calculation: $1,200 / $4.12 = 291 shares, or $32,845 to generate a monthly dividend income of $100.

Note that dividend yield can change on a rolling basis, as dividend payments and stock prices both fluctuate over time.

The dividend yield is calculated by dividing the annual dividend payment by the current stock price. As the stock price changes, the dividend yield will also change.

For example, if a stock pays an annual dividend of $2 and its current price is $50, its dividend yield would be 4%. However, if the stock price increases to $60, the dividend yield would decrease to 3.33% ($2/$60).

Conversely, if the stock price decreases to $40, the dividend yield would increase to 5% ($2/$40).

Further, the dividend payment itself can also change over time, which can impact the dividend yield. If a company increases its dividend payment, the dividend yield will increase even if the stock price remains the same. Similarly, if a company decreases its dividend payment, the dividend yield will decrease.

Constellation Brands: Price Action

Constellation Brands shares fell 0.1% to close at $112.87 on Friday.

Analysts expect the company to report quarterly earnings of $3.56 per share, down from $3.63 per share a year ago. The consensus estimate for STZ’s quarterly revenue is $2.54 billion. It reported $2.48 billion last year, according to Benzinga Pro.

On June 30, Constellation Brands reported better-than-expected first-quarter financial results and raised its FY27 GAAP EPS guidance.

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