Here's How Many Shares of Bank of America You Should Own to Get $1,000 in Yearly Dividends

Core Insights - Bank of America has emerged as one of the largest financial services companies globally, with a diverse range of offerings including traditional banking, investment banking, and investments [1] - The bank's earnings are closely linked to the economic cycle, making it essential to assess the safety of its dividend payments [1] Dividend Analysis - The current quarterly dividend payment by Bank of America is $0.26 per share, which is a reduction from$0.32 during the 2008 financial crisis [2] - The payout ratio for Bank of America is 35%, indicating a moderate level of profit distribution as dividends, which may provide some reassurance to investors [3] - To achieve $1,000 in annual dividends, an investor would need to own 962 shares, requiring an investment of approximately$40,400 at a stock price of about $42 [4] Dividend Yield - Bank of America's stock offers a dividend yield of 2.5%, which is 1.2 percentage points higher than the S&P 500 index [5]