Starbucks (NASDAQ: SBUX) has been an excellent dividend stock for investors, with a dividend yield of nearly 3% as of this writing and a strong history of dividend increases. But how much is the coffee giant spending on dividends this year?
Starbucks' total dividend payout for 2024
Starbucks has a quarterly dividend of $0.57 per share as of July 2024. This means that for every share of stock, Starbucks pays an annual dividend of $2.28 per share.
As of the latest financial reports, Starbucks had 1.13 billion shares of stock outstanding. Multiplying this by the yearly per-share dividend shows that Starbucks will pay approximately $2.58 billion in dividends this year.
Two caveats to keep in mind
To be clear, this is based on Starbucks' current dividend yield and outstanding share count, both of which can change over time.
We'll start with the dividend. Starbucks doesn't just pay dividends – its leadership team aims to increase its dividend over time. Starbucks has increased its quarterly dividend for 13 consecutive years.
Not only that, but Starbucks typically increases its dividend with the payment it declares in the third quarter (usually in early September). While it isn't guaranteed that Starbucks investors will see an increase in 2024, it would be surprising if we didn't.
Also, it's important to note that the number of shares of Starbucks stock changes over time. The company might issue new shares for stock-based compensation or other reasons and could choose to reduce its share count through buybacks. The latter has outweighed the new shares, and Starbucks' outstanding shares have decreased by about 25% over the past decade.
The bottom line is that the actual dividends paid out by Starbucks should be close to our calculation in the previous section. However, for these two reasons, it's not likely to be exactly this amount
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Matt Frankel has positions in Starbucks. The Motley Fool has positions in and recommends Starbucks. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
