The Northern Star Resources Ltd (ASX: NST) share price has more than doubled over the last five years.
Indeed, a $7,000 investment in the gold mining stock back in May 2018 would have seen a buyer walk away with 1,114 shares, paying $6.28 apiece.
Today, that parcel would be worth $14,827.34. The Northern Star share price last traded at $13.31.
Comparatively, the S&P/ASX 200 Index (ASX: XJO) has gained 21% in that same time.
But how much harder might our imagined investor's money have worked if we also factor in the dividends on offer from the mining giant? Let's take a look.
Image source: Getty Images
All dividends paid to those buying Northern Star shares in 2018
Here is all the passive income offered by Northern Star shares over the last five years:
| Northern Star dividends' pay date | Type | Dividend amount |
| March 2023 | Interim | 11 cents |
| September 2022 | Final | 11.5 cents |
| March 2022 | Interim | 10 cents |
| September 2021 | Final | 9.5 cents |
| March 2021 | Interim | 9.5 cents |
| September 2020 | Final and special | 9.5 cents and 10 cents |
| July 2020 | Interim | 7.5 cents |
| November 2019 | Final | 7.5 cents |
| April 2019 | Interim | 6 cents |
| September 2018 | Final | 5 cents |
| Total: | 97 cents |
As the above chart shows, each Northern Star share has yielded 97 cents of dividends since May 2018.
That means our figurative parcel has probably brought in around $1,080.58 of passive income.
At that rate, our imagined investor has realised a total return on investment (ROI), considering share price gains and dividends, of 127%.
And just imagine the compounding returns they may have experienced had they reinvested their offerings.
Not to mention, all the dividends paid by the company in that time have been fully franked, meaning they might have brought additional benefits for some investors at tax time.
Right now, Northern Star shares are trading with a 1.69% dividend yield.
