Alphabet Inc. (NASDAQ:GOOGLE) (NASDAQ:GOOG) shares closed slightly lower lower on Monday.

In a strategy meeting with Alphabet executives, CEO Sundar Pichai addressed key 2025 topics including artificial intelligence, competition and regulatory pressure.

“The stakes are high,” Pichai said at the Dec. 18 meeting, CNBC reported. “I think 2025 will be critical. I think it’s very important that we internalize the urgency of this moment and we need to move faster as a business.”

On December 23, B of A securities analyst Justin Post maintained Alphabet with a buy rating and maintained a price target of $210.

With the recent buzz surrounding Alphabet, some investors may also be eyeing the company’s potential dividend earnings. As of now, Alphabet offers an annual dividend yield of 0.42%, which is a quarterly dividend of 20 cents per share (80 cents a year).

So how can investors leverage their dividend yield to pocket $500 a month?

To earn $500 per month or $6,000 per year from dividends alone, you would need an investment of approximately $1,434,300 or about 7,500 shares. For a more modest $100 a month or $1,200 a year, you’ll need $286,860 or about 1,500 shares.

To calculate: Divide the desired annual income ($6,000 or $1,200) by the dividend ($0.80 in this case). So $6,000 / $0.80 = 7,500 ($500 per month) and $1,200 / $0.80 = 1,500 shares ($100 per month).

Note that the dividend yield may change continuously as the dividend payout and stock price fluctuate over time.

How this works: Dividend yield is calculated by dividing the annual dividend payment by the current share price.

For example, if a stock pays an annual dividend of $2 and is currently priced at $50, the dividend yield would be 4% ($2/$50). However, if the stock price rises to $60, the dividend yield drops to 3.33% ($2/$60). Conversely, if the stock price falls to $40, the dividend yield increases to 5% ($2/$40).

Similarly, changes in dividend payout can affect performance. If a company increases its dividend, the yield will also increase, as long as the stock price remains the same. Conversely, if the dividend payout decreases, so will the yield.

GOOGL Price Action: Alphabet shares fell 0.8% to close at $191.24 on Monday.

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