U.K. drugmaker GlaxoSmithKline (NYSE:GSK) just made a big splash with the buyout of Human Genome Sciences (NASDAQ:HGSI) for $3.6 billion. That could yield benefits in the long term with an addition to the product pipeline — and may help this Berkshire stock turnaround its rather disappointing track record when it comes to stock performance.
Of course, beyond share price there’s the yield — and Big Pharma means big dividends. Though GSK isn’t consistent as domestic pharmaceuticals when it comes to distributions, the last four quarterly payouts range between 52 cents and 82 cents a share. Add up the last four consecutive payments, and you get $2.43 cents annually for a hefty 5.0% yield.
If you want to be conservative, however, four quarters at the lowest payment of 52 cents gets you to $2.08 annually — which isn’t as rosy, but still an impressive 4.6% yield.