Finance

Dividend Yield Calculator

Turn a stock's annual dividend and price into a yield percentage, then see how much income your share count would actually pay out.

Dividend yield
5.00%
Annual income
$250.00

How it works

Dividend yield tells you how much a stock pays out each year relative to its price. A share trading at $50 that pays a $2.50 annual dividend yields 5% — for every dollar tied up in the stock, you get five cents back in dividends over the year.

Yield moves opposite to price. If the shares drop while the dividend holds steady, the yield climbs; if the price runs up, the yield shrinks. So a sky-high yield sometimes means a great deal and sometimes means the market expects the payout to get cut.

Enter how many shares you own and the calculator also shows the dollars, not just the percentage. Two hundred and fifty dollars a year on a hundred shares is easy to picture, and it's the number that actually matters when you're planning on dividend income.

Frequently asked questions

How is dividend yield calculated?

Divide the annual dividend per share by the current share price, then multiply by 100. A $3 yearly dividend on a $60 stock is a 5% yield. Use the total of all payments made over a full year.

Is a higher dividend yield always better?

Not necessarily. A very high yield can be a warning sign that the share price has fallen because investors doubt the company can keep paying. A steady, moderate yield from a healthy business is often more reliable than a flashy one.

What annual dividend should I enter?

Add up the dividends paid per share over the last twelve months. If a stock pays $0.75 each quarter, that's $3.00 a year. Use the per-share amount, not the total you personally received.