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Calculate Dividend Yield

Instantly calculate your annual return on investment from stock dividends. Essential for income-focused investors.

ROI
Yield Percentage
Income
Cash Flow
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Dividend Yield Formula

Dividend yield is a financial ratio (dividend/price ratio) that shows how much a company pays out in dividends each year relative to its stock price.

Dividend Yield = (Annual Dividend / Share Price) × 100%

What is a Good Dividend Yield?

There is no "perfect" yield, but generally:

  • Low Yield (0% - 2%): Typical for high-growth tech companies that reinvest profits instead of paying dividends.
  • Moderate Yield (2% - 4%): Often found in stable blue-chip stocks (e.g., consumer goods, healthcare). Considered a "safe" range.
  • High Yield (4% - 6%+): Common in utilities, REITs, and telecommunications. Can indicate good income but sometimes slower growth.
  • Very High Yield (8%+): Caution! Extremly high yields can be a "dividend trap," signalling a crashing stock price or unsustainable payouts.

Frequently Asked Questions

How often are dividends paid?

Most US companies pay quarterly (4 times a year). Some pay monthly or semi-annually. This calculator uses the annual (total yearly) amount.

Does share price affect yield?

Yes! If the share price drops, the yield goes up (mathematically). If the share price rises, the yield goes down. This is the inverse relationship.