In the first weeks of January 2021, passive income investors could have picked up Commonwealth Bank of Australia (ASX: CBA) shares for anywhere from $83 to $85 apiece.
Taking the mid-range here, we'll assume you opted to buy at $84 a share.
That means with your $8,000 investment, you could have snapped up 95 shares in the S&P/ASX 200 Index (ASX: XJO) bank stock, with enough change left over for a takeout pizza.
With the goal of securing a reliable extra passive income stream in mind, you were likely drawn to CommBank's long history of paying two fully franked dividends per year.
As we'll look at in a tick, CBA shares didn't disappoint on this front over the past three years.
But as you can see on the chart below, Australia's biggest bank also posted some significant share price gains during this time.
Indeed, on Friday, the ASX 200 bank stock ended the day trading for $136.80 a share.
That means, from capital gains alone, your $8,000 investment for 95 shares in early 2021 would now be worth $12,996.
Now, let's have a look at that passive income.
Tapping CBA shares for passive income
If you'd bought your 95 CBA shares in January 2021, you'd have been eligible to receive the past eight, fully franked dividend payouts.
To be precise, you'd already have received seven dividend payouts. The all-time high FY 2024 final dividend of $2.50 per share will be paid on 27 September. CBA stock traded ex-dividend earlier this week, on 21 August.
According to my trusty calculator, you'll then have received a total of $16.50 per share in dividends over three years. Or $1,567.50 in passive income
Adding those dividends back into Friday's closing share price, the accumulated value of the CBA shares you bought in 2021 now stands at $153.30 a share.
Meaning your 95 shares purchased for $8,000 in 2021 are now worth an accumulated $14,563.50. Or a very tidy gain of 82%, plus potential tax benefits from those franking credits.
What's the latest from CommBank?
The record amount of passive income per share paid out with the final FY 2024 CBA dividend came after the big four bank achieved full-year operating income of $27.17 billion, in line with FY 2023.
And cash net profit after tax of $9.84 billion held up well in the face of rising costs, down 2% year on year.
Commenting on those results, including the boost in passive income, CBA CEO Matt Comyn said, "Our results demonstrate our continued focus on supporting our customers, our disciplined operational and strategic execution, and the strength of our balance sheet."
