Exploring Johnson Controls International’s Yield

Johnson Controls International plc (Symbol: JCI) had a fruitful day in the trading realm as its shares crossed the 2% yield mark, standing at an annualized $1.48 dividend. The stock’s price fluctuated throughout the day, hitting a low of $73.54. Diving into the world of dividends is crucial for investors due to its historical significance in contributing substantially to the stock market’s overall returns.

The Power of Dividends

Delving into historical data, particularly from the turn of the millennium, unveils the impact of dividends on total returns. Imagine purchasing shares of the S&P 500 ETF (SPY) on 12/31/1999 for $146.88 each. Fast forward to 12/31/2012, where each share was valued at $142.41, marking a decrease of $4.67 per share. However, factoring in the dividends collected during this period, totaling $25.98 per share, resulted in a positive total return of 23.36%. Even with dividends reinvested, this accounts for an average annual return of approximately 1.6%. Therefore, a yield exceeding 2% appears significantly attractive, provided it is sustainable.

The Reliability of Johnson Controls International’s Dividends

For Johnson Controls International plc, dividend amounts are not always static but rather fluctuate depending on the company’s profitability trends. Analyzing the historical chart for JCI aids in evaluating the likelihood of the current dividend persisting and consequently, the feasibility of anticipating a 2% annual yield.

Click here to discover the 9 other dividend stocks that have recently entered the market at discounted rates.

Insightful Observations

In addition to monitoring Johnson Controls International plc’s dividend performance, it is insightful to peek into the top ten hedge funds that hold IEH, estimate the funds holding BLJ, and engage with MCC Videos.

The sentiments expressed in this piece are solely those of the author and may not necessarily align with the views of Nasdaq, Inc.