Dividend Yield Calculator
Dividend Yield is evaluated from Current Share Price, Annual Dividend Per Share and Total Investment. The calculation reports Dividend Yield, Annual Dividend Income and Monthly Dividend Income.
Results
About the Dividend Yield Calculator
The calculator uses a multi formula configuration. Each reported value is read as a direct evaluation of the stored rules with the declared field formats and units.
Formula basis:
Dividend yield = annual dividend / share price x 100. Annual income = shares owned x annual dividend. Payout ratio = DPS / EPS (< 75% generally sustainable). Yield on cost = future projected dividend / original purchase price.
Interpret the outputs in the order shown by the result fields. Optional inputs affect only the outputs that depend on those variables.
Formula & How It Works
The calculation applies the following relations exactly as recorded in the metadata: Dividend yield = annual dividend / share price x 100. Annual income = shares owned x annual dividend. Payout ratio = DPS / EPS (< 75% generally sustainable). Yield on cost = future projected dividend / original purchase price. Each output field is produced by substituting the supplied inputs into the relevant relation and then applying the declared rounding or text format.
Worked Examples
Example 1: Johnson & Johnson style: $160/share, $4.52 annual dividend
Inputs
With Current Share Price = 160, Annual Dividend Per Share = 4.52, Total Investment = 16,000 and EPS = 10.2 as the stated inputs, the result is Dividend Yield = 2.83%, Annual Dividend Income = $452 and Monthly Dividend Income = $37.67. Each value corresponds to the declared output fields.
Example 2: Retiree income portfolio: $500,000 at 4% average yield
Inputs
With Current Share Price = 50, Annual Dividend Per Share = 2, Total Investment = 500,000 and EPS = 3.5 as the stated inputs, the result is Dividend Yield = 4%, Annual Dividend Income = $20,000 and Monthly Dividend Income = $1,666.67. Each value corresponds to the declared output fields.
Example 3: High-yield REIT: $35/share, $2.40 annual dividend
Inputs
With Current Share Price = 35, Annual Dividend Per Share = 2.4, Total Investment = 35,000 and EPS = 2 as the stated inputs, the result is Dividend Yield = 6.86%, Annual Dividend Income = $2,400 and Monthly Dividend Income = $200. Each value corresponds to the declared output fields.
Example 4: Dividend growth stock: low yield but rapid growth
Inputs
With Current Share Price = 200, Annual Dividend Per Share = 1, Total Investment = 20,000 and EPS = 8 as the stated inputs, the result is Dividend Yield = 0.5%, Annual Dividend Income = $100 and Monthly Dividend Income = $8.33. Each value corresponds to the declared output fields.
Common Use Cases
- Calculate dividend yield from stock price and dividend
- Estimate annual dividend income from portfolio
- Evaluate dividend sustainability with payout ratio