How To Earn $500 A Month From Willis Towers Watson Stock Following Upbeat Earnings

Willis Towers Watson Public Limited Company WTW reported better-than-expected third-quarter results on Thursday.

Willis Towers Watson posted adjusted earnings of $2.24 per share, versus market estimates of $2.05 per share. The company’s quarterly sales came in at $2.2 billion, versus expectations of $2.088 billion.

The company expects to deliver mid-single-digit organic revenue growth for 2023.

With Willis Towers Watson reporting upbeat quarterly earnings, some investors may be eyeing potential gains from the company’s dividends. As of now, Willis Towers Watson has a dividend yield of 1.47%, which is a quarterly dividend amount of 84 cents a share ($3.36 a year).

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

Next, we take this amount and divide it by Willis Towers Watson $3.36 dividend: $6,000 / $3.36 = 1,786 shares

So, an investor would need to own approximately $409,137 worth of Willis Towers Watson, or 1,786 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 / 3.36 = 357 shares, or $81,782 to generate a monthly dividend income of $100.

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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.

WTW Price Action: Shares of Willis Towers Watson jumped 10.3% to close at $229.08 on Thursday.

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