How To Earn $500 A Month From Huntsman Stock Ahead Of Q4 Earnings

by Avi Kapoor Benzinga Staff Writer

Zinger Key Points

A more conservative goal of $100 monthly dividend income would require 1,200 shares of Huntsman.
An investor would need to own $101,880 worth of Huntsman to generate a monthly dividend income of $500.
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Huntsman Corporation HUN will release its fourth-quarter financial results, after the closing bell, on Monday, Feb. 17, 2025.

Analysts expect the Texas-based company to report a quarterly loss at 10 cents per share, versus a year-ago loss of 21 cents per share. Huntsman projects quarterly revenue of $1.45 billion, compared to $1.4 billion a year earlier, according to data from Benzinga Pro.

On Jan. 13, Morgan Stanley analyst Angel Castillo maintained Huntsman with an Equal-Weight rating and lowered the price target from $24 to $20

With the recent buzz around Huntsman, some investors may be eyeing potential gains from the company's dividends too. As of now, Huntsman offers an annual dividend yield of 5.89%, which is a quarterly dividend amount of 25 cents per share ($1.00 a year).

So, how can investors exploit its dividend yield to pocket a regular $500 monthly?

To earn $500 per month or $6,000 annually from dividends alone, you would need an investment of approximately $101,880 or around 6,000 shares. For a more modest $100 per month or $1,200 per year, you would need $20,376 or around 1,200 shares.

To calculate: Divide the desired annual income ($6,000 or $1,200) by the dividend ($1.00 in this case). So, $6,000 / $1.00 = 6,000 ($500 per month), and $1,200 / $1.00 = 1,200 shares ($100 per month).

Note that dividend yield can change on a rolling basis, as the dividend payment and the stock price both fluctuate over time.

How that works: The dividend yield is computed by dividing the annual dividend payment by the stock’s current price.

For example, if a stock pays an annual dividend of $2 and is currently priced at $50, the dividend yield would be 4% ($2/$50). However, if the stock price increases to $60, the dividend yield drops to 3.33% ($2/$60). Conversely, if the stock price falls to $40, the dividend yield rises to 5% ($2/$40).

Similarly, changes in the dividend payment can impact the yield. If a company increases its dividend, the yield will also increase, provided the stock price stays the same. Conversely, if the dividend payment decreases, so will the yield.

HUN Price Action: Shares of Huntsman gained 1.3% to close at $16.98 on Thursday.