Invested $3,000 in Mineral Resources shares in 2018? Here's how much dividend income you've received

A $3,000 investment five years ago likely would have seen one boasting 169 shares in the mining giant.

| More on:
A happy construction worker or miner holds a fistfull of Australian money, indicating a dividends windfall

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • The Mineral Resources share price has soared over the last five years, gaining a whopping 345% in that time 
  • Meanwhile, the mining giant has been paying dividends to those invested in its stock
  • Each Mineral Resources share has yielded $6.79 of passive income since April 2018

The Mineral Resources Ltd (ASX: MIN) share price has spoilt investors over the last five years, gaining at nearly 15 times the rate of the S&P/ASX 200 Index (ASX: XJO).

In fact, a $3,000 investment five years ago likely would have seen one boasting 169 shares in the mining giant, paying $17.69 apiece.

Today, that parcel would be worth a whopping $13,300.30. The Mineral Resources share price last traded at $78.70.

For comparison, the ASX 200 has risen 23% since April 2018.

In the meantime, the mining services provider and producer of iron ore and lithium has been a relatively consistent dividend payer. Let's take a look.

Dividends paid to holders of Mineral Resources shares since 2018

Here are all the dividends paid to those holding Mineral Resources shares since this time five years ago:

Mineral Resources dividends' pay dateTypeDividend amount
March 2023Interim$1.20
September 2022Final$1
August 2021Final$1.75
February 2021Interim$1
August 2020Final77 cents
March 2020Interim23 cents
September 2019 Final31 cents
March 2019Interim13 cents
September 2018Final40 cents
Total: $6.79

That's right, each Mineral Resources share has yielded $6.79 of dividends since April 2018. That means our figurative parcel has likely provided $1,147.51 of passive income.

At that rate, the total return on investment (ROI), considering both dividends and share price gains, offered by the ASX 200 miner in that time reaches an impressive 383%.

And that's before considering the potential compounding that might have been realised had a shareholder reinvested their dividends, using the cash to buy more stock in the company.

Not to mention, all the company's dividends have come fully franked. Thus, they might have provided additional benefits for some investors at tax time.

Right now, Mineral Resources shares offer a 2.78% dividend yield.

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Dividend Investing

Hand holding Australian dollar (AUD) bills, symbolising ex dividend day. Passive income.
Dividend Investing

4 ASX All Ords shares with ex-dividend dates next week

Pay close attention to these dates.

Read more »

Two workers at an oil rig discuss operations.
Dividend Investing

This high-yielding ASX 200 dividend stock remains a top choice for passive income

I think this ASX 200 dividend gem will remain a top passive income stock for years to come.

Read more »

Person handing out $50 notes, symbolising ex-dividend date.
Dividend Investing

Buy these ASX dividend shares for 6%+ yields

Analysts expect these stocks to provide income investors with big yields in the coming years.

Read more »

Beautiful young couple enjoying in shopping, symbolising passive income.
Dividend Investing

2 high-yield Australian dividend shares for reliable passive income

When you're looking to generate passive income from the share market, you want reliability. No income investor wants to see…

Read more »

Happy female friends taking self portrait through mobile phone at pool's edge, symbolising passive income.
Dividend Investing

Looking for passive income? Try this ASX 200 blue chip

This stock's 4.66% fully franked yield is hard to ignore.

Read more »

Man holding out Australian dollar notes, symbolising dividends.
Bank Shares

Everything you need to know about the NAB dividend

NAB will soon be sending its next payout to investors.

Read more »

Happy man holding Australian dollar notes, representing dividends.
Dividend Investing

2 high-yield ASX dividend shares for Australian retirees

Analysts are tipping big yields and big returns from these income stocks.

Read more »

A retiree relaxing in the pool and giving a thumbs up.
Dividend Investing

$30,000 in savings? Here's how I'd aim for $2,070 a year in passive income

Why not turn those savings into a regular passive income stream?

Read more »