How To Earn $500 A Month From Wynn Resorts Stock Ahead Of Q3 Earnings

Wynn Resorts, Limited WYNN will release earnings results for its third quarter, after the closing bell on Monday, Nov. 4.

Wall Street expects the Las Vegas, Nevada-based company to report quarterly earnings at $1.01 per share, up from 99 cents per share in the year-ago period. The company projects to report revenue of $1.73 billion, compared to $1.67 billion a year earlier, according to data from Benzinga Pro.

On Oct. 22, Morgan Stanley analyst Stephen Grambling maintained Wynn Resorts with an Overweight. He also raised the price target from $112 to $115.

With the recent buzz around Wynn Resorts ahead of quarterly earnings, some investors may be eyeing potential gains from the company's dividends too. Wynn Resorts currently offers an annual dividend yield of 1.05%. That’s a quarterly dividend of 25 cents per share ($1.00 a year).

To figure out how to earn $500 monthly, start with a yearly target of $6,000 ($500 x 12 months).

Next, we take this amount and divide it by Wynn Resorts' $1.00 dividend: $6,000 / $1.00 = 6,000 shares.

So, an investor would need to own approximately $574,080 worth of Wynn Resorts, or 6,000 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 / $1.00 = 1,200 shares, or $114,816 to generate a monthly dividend income of $100.

Note that dividend yield can change on a rolling basis, as the dividend payment and the stock price 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 also 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.

WYNN Price Action: Shares of Wynn Resorts fell by 0.4% to close at $95.68 on Friday.

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