The Twelfth Magpie
Here's how many shares of Rolls-Royce you'd need for £10,000 in yearly dividends
xCruzo Brief
A look at Rolls-Royce’s dividend math suggests income is not the main reason investors would buy the stock. The company, listed on the LSE (RR), paid its first dividend since early 2020 last year and is targeting higher payouts ahead. It currently pays an annual dividend of 9.5p, after raising this year’s interim dividend by 33% and putting it on track for 14.1p for the full year; next year’s expectation is 16.2p. Using a rolling 12-month forecast, the forward yield is 1.16%, meaning more than 62,000 shares—costing about £862,000—would be needed for £10,000 in yearly dividends.
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