Dividend Yield Calculator
Calculate a stock's dividend yield percentage from its annual dividend per share and current share price.
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Dividend Yield
3.13%
Est. Quarterly Payment
$0.63
How Dividend Yield Is Calculated
Dividend yield measures the annual dividend income a stock pays relative to its current share price, expressed as a percentage. Enter the annual dividend per share and the current share price to see the yield.
Example
A stock paying $2.50 per share annually and trading at $80 has a dividend yield of (2.50 ÷ 80) × 100 = 3.125%. If dividends are paid quarterly, each payment would be roughly $0.625 per share.
Common Use Cases
- Comparing income potential across dividend-paying stocks.
- Screening for income-focused investments in a portfolio.
- Tracking how yield changes as a stock's price moves.
- Evaluating whether a high yield reflects strong income or a falling share price.
FAQs
Why does dividend yield change without the dividend changing?
Yield is calculated against the current share price, so it moves inversely with price even if the dividend payment itself stays flat. A falling stock price pushes the yield up, and a rising price pushes it down.
Is a higher dividend yield always better?
Not necessarily. An unusually high yield can signal that the market expects the dividend to be cut, or that the share price has dropped sharply due to underlying business problems. Check the company's payout ratio and financial health before assuming a high yield is a bargain.
Does dividend yield include stock buybacks?
No — dividend yield only reflects cash dividends paid per share. Buybacks return value to shareholders differently and aren't part of this calculation.