In the pharmaceutical industry, GSK PLC (GSK) ranks as one of the largest companies by total sales.The company wields its might across several therapeutic classes, including respiratory, cancer, and antiviral, as well as vaccines.GSK uses joint ventures to gain additional scale in certain markets like HIV.The company was formerly known as GlaxoSmithKline plc and changed its name to GSK plc in May 2022.GSK plc was founded in 1715 and is based in Brentford, the United Kingdom.Three key data points gauge GSK or any dividend-paying firm.The key three are:(1) Price(2) Dividends(3) ReturnsThose three basic keys best tell whether any company has made, is making, and will make money.
GSK PriceOver the past year, GSK’s share price rose about xx% from $32.29 to $34.48 as of Wednesday’s market closeIf GSK’s stock trades in the range of $30.00 to $45.00 this next year, its recent $34.48 share price might rise to $40.00 by next year. Of course, GSK’s price could drop about the same $5.52 estimated amount or more.My upside estimate of $5.52, however, is $2.02 less than the median of one-year price targets from 7 analysts covering GSK for brokers.
GSK Dividend
GSK has paid variable Quarterly dividends since January 18, 1985. GSK’s most recent Q dividend, of $0.36 was paid on October 12, 2023, to shareholders of record on August 17th. The forward-looking $1.44 annual dividend yields 4.18% at Wednesday’s share price,
GSK ReturnsPutting it all together, we add the estimated forward-looking annual dividend of $1.44 to my estimated price upside of $5.52 and find a $6.96 gross gain.At Wednesday’s $34.48 closing price, a little under $1000 would buy 29 shares.A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.345 per share.Subtracting that likely $0.345 brokerage cost from the $6.96 estimated gross gain per share produces a net gain of $6.62 X 29 shares = $191.98 or about a 19.2% net gain.You might choose to pounce on GSK shares. GSK is a major drug manufacturing company in Great Britain. Furthermore the estimated $41.80 dividend income from $1k invested is over 1.2 times greater than Wednesday’s price of a single share.The fate of GSK’s ongoing future price and dividend is yet to be learned.Remember the true value of any stock is best realized through personal ownership of shares.More By This Author:Current Analysis: Hypera SA
Current Analysis: Sinopharm Group
Current Analysis: Takeda Pharmaceuticals (TKPHF)
