Shell announced a dividend reduction from $0,47 to $0,16 due to the current market. As a result my yearly estimated dividend income will decrease by $231,88.
It’s the first time since World War II that Shell reduces it’s dividend so for me it’s not a cut I expected at this time already.
Today I bought 112 shares Royal Dutch Shell A (EPA:RDSA) at a price of €26,93 per share including transaction fees. As a result of this transaction my average purchase price of Royal Dutch Shell is declining from €27,23 to €27,05.
With this purchase I add €184,80 to my yearly estimated dividend income. Yield on cost will be 6,1%.
There is one more dividend payment scheduled at 19 december so this purchase will also add €46,17 to my 2018 dividend income.
Today I bought 100 shares Royal Dutch Shell A (epa:rdsa) against a price of €27,53 per share. I now have a total position of 120 shares Royal Dutch Shell. Royal Dutch Shell is currently paying a quarterly dividend of $0,47. This is an expected yearly dividend op $1,88 per year. In euro’s this is €1,59 against the current exchange rate of 1.178.
With this purchase I add €159 in yearly dividend income. The yield on cost of this purchase will be 5,8%.
I bought these stocks, because Royal Dutch Shell announced strong cashflow figures last week. They also announced to stop their stockdividend program. In my eyes this is a sign that Royal Dutch Shell (epa:rdsa) considers their cashflow strong enough to fund investments and dividend payments.