Woolworths Group Ltd (ASX: WOW) shares are trading at $35.73 in late afternoon trading on Tuesday.
Earning season is underway, and the supermarket giant is due to release its 1H FY24 results and interim dividend tomorrow.
So, what are the experts expecting Woolworths shares to pay its investors this time around?
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How much will Woolworths pay in dividends in 2024?
The consensus analyst forecast published on CommSec is for Woolworths to pay $1.10 per share in total annual dividends this year.
They expect this to rise to $1.189 per share next year and $1.288 per share in 2026.
A $10,000 budget (minus a brokerage fee of $5) will buy you 279 Woolworths shares at the current price.
Total spend = $9,968.67.
If we multiply 279 shares by $1.10, we get a total annual dividend of $306.90 and a yield of 3.08%.
But Woolworths investors also receive 100% franking with their dividends.
If we add that benefit, we get an anticipated gross annual dividend of $438.43 on a yield of 4.4% for 2024.
What about next year and 2026?
As discussed earlier, analysts expect Woolworths shares to pay higher dividends in 2025 and 2026.
So, let's run the numbers again to figure out the dividend yields you can expect if you buy Woolworths at today's share price.
2025: 279 x $1.189 = $331.73. With franking, it's $473.90 and a gross dividend yield of 4.75%.
2026: 279 x $1.288 = $359.35. With franking, it's $513.36 and a gross dividend yield of 5.15%.
Woolworths share price snapshot
Woolworths is down 2.87% over the past 12 months compared to a 3.96% bump for the ASX 200.
