If you’ve got $10,000 itching to grow, Fiera Capital (TSX:FSZ) might just be your ticket. The dividend stock presents a compelling opportunity, especially given its current high dividend yield and recent market performance. So now, let’s dive into why this stock is worth considering.
Riding the waves
Fiera stock isn’t your average asset management firm. They manage everything from equities and fixed income to some snazzy alternative investments. This means they’re perfectly poised to ride out the market’s ups and downs. Recently, the market has been a rollercoaster, and Fiera’s stock price has mirrored this ride, making it an interesting time to hop on.
Furthermore, in Q1 2024, Fiera Capital reported revenue of $168.1 million, up 7% from last year. Not too shabby, right? Despite market volatility, they’re keeping things steady. This solid performance shows that they can navigate through tricky times while keeping the growth engine running.
Fiera stock is currently trading at just $7.30 as of writing, down from its 52-week high of $8.75. This discount could be your golden opportunity. Why the markdown? Market jitters and sector-specific challenges. But, hey, one person’s jitters are another’s buying opportunity! With strong fundamentals and smart acquisitions, Fiera is set up for a promising future.
High-yield alert!
Here’s where it gets juicy. Fiera Capital boasts a whopping 11.8% dividend yield. That’s right, 11.8%! With a forward annual dividend of $0.86 per share, this stock is a dream for dividend lovers. Historically, they’ve been good at keeping those dividends flowing, though the payout ratio can change based on their earnings. It’s always a good idea to keep an eye on this metric to ensure those sweet dividends keep rolling in.
Furthermore, analysts are cautiously optimistic about Fiera Capital’s future. The company’s strategic moves to expand globally and diversify its investment offerings are paying off. Plus, recent headlines like senior management buying more shares hint at strong internal confidence in what lies ahead.
Finally, Fiera stock has a long history when it comes to not just dividend growth, but share growth as well. Over the past decade, Fiera Capital has consistently grown its dividends, thanks to a solid compound annual growth rate (CAGR). This makes it a solid pick for those looking to build a reliable income stream over time. Imagine watching your dividends grow year after year like a well-watered garden!
Bottom line
So let’s say you wanted to invest that $10,000 right now? Fire stock currently holds a CAGR of 1.4%, so not all that great in terms of share price. But it’s been a bit of a wild ride. Yet the dividend has been growing at a steady clip of 7%. And that’s supported by a fairly stable 146% payout ratio. Here is what investors might look forward to in the next year then!
| COMPANY | RECENT PRICE | NUMBER OF SHARES | DIVIDEND | TOTAL PAYOUT | FREQUENCY | PORTFOLIO TOTAL |
| FSZ – now | $7.30 | 1,370 | $0.86 | $1,178.20 | monthly | $10,000 |
| FSZ – up 1.43% | $7.40 | 1,370 | $0.92 | $1,260.40 | monthly | $10,138 |
While returns aren’t that impressive at $138, dividends are incredible at $1,178.40 to start and $1,260.40 after the next increase. Altogether, investors could have up to $1,398.40 in passive income! So don’t leave this dividend stock alone for any longer.
