One of the more popular stocks in the retail industry also happens to be one of its more consistent dividend payers — and dividend raisers.
In April, Costco (NASDAQ: COST) declared a hike in its payout for the 22nd year in a row
Here’s a look at what kind of position you’d need in the stock now to earn $1,000 annually in dividend payments. Membership has its privileges The dividend raise lifted Costco’s quarterly distribution to $1.47 per share. That equates to an annual payout of $5.88, so to reap that $1,000, you’d require 171 shares.
There are more high-yielding retail stocks on the market, but Costco is a unique operator. Its stores are, of course, membership only, giving the company a strong foundation of semi-predictable revenue. It leverages this to undercut competitors with pricing.