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HSBC (HSBC Holdings) 5-Year Yield-on-Cost % : 6.26 (As of Dec. 11, 2024)


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What is HSBC Holdings 5-Year Yield-on-Cost %?

HSBC Holdings's yield on cost for the quarter that ended in Sep. 2024 was 6.26.


The historical rank and industry rank for HSBC Holdings's 5-Year Yield-on-Cost % or its related term are showing as below:

HSBC' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 1.82   Med: 5.59   Max: 8.48
Current: 6.26


During the past 13 years, HSBC Holdings's highest Yield on Cost was 8.48. The lowest was 1.82. And the median was 5.59.


HSBC's 5-Year Yield-on-Cost % is ranked better than
71.35% of 1232 companies
in the Banks industry
Industry Median: 4.59 vs HSBC: 6.26

Competitive Comparison of HSBC Holdings's 5-Year Yield-on-Cost %

For the Banks - Diversified subindustry, HSBC Holdings's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


HSBC Holdings's 5-Year Yield-on-Cost % Distribution in the Banks Industry

For the Banks industry and Financial Services sector, HSBC Holdings's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where HSBC Holdings's 5-Year Yield-on-Cost % falls into.



HSBC Holdings 5-Year Yield-on-Cost % Calculation

Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of HSBC Holdings is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5

HSBC Holdings  (NYSE:HSBC) 5-Year Yield-on-Cost % Explanation

Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.


HSBC Holdings 5-Year Yield-on-Cost % Related Terms

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HSBC Holdings Business Description

Address
8 Canada Square, London, GBR, E14 5HQ
Established in 1865 in Hong Kong, London-based HSBC is one of the largest banks in the world, with assets of USD 3 trillion and 40 million customers worldwide. It operates in around 60 countries with around 220,000 full-time staff. The United Kingdom and Hong Kong are its two largest markets. The bank offers retail, commercial and institutional banking, global banking and markets, wealth management, and private banking.