Dividend Yield Calculator

Calculate the dividend yield ratio of a stock

Last updated: 10/8/2026

Dividend yield is the cash a share pays out over a year expressed as a percentage of what the share costs today. It lets you compare the income from a stock with a bond coupon or a savings rate, and it moves every day the price moves even if the dividend itself is unchanged. Enter the annual dividend per share and the current price; the calculator returns the yield and the income you would receive per $1,000 invested.

Calculator Inputs

Annual Dividend Per Share*

Current Share Price*

Results

Enter values above to see your results

The yield is a point-in-time figure based on the numbers you enter. It does not forecast future dividends, which companies can raise, cut, or suspend at any time.

How It Works

Dividend yield (%) = annual dividend per share ÷ current share price × 100. Annual dividend means the total of all regular payments in a year: a quarterly dividend of $0.625 is $2.50 a year. The income per $1,000 line is simply yield × $1,000 ÷ 100.

Trailing versus forward yield

A trailing yield uses the dividends actually paid over the past twelve months. A forward (or indicated) yield uses the most recent payment multiplied by the number of payments a year, which assumes the dividend holds. Financial sites show one or the other, and a company that has just raised or cut its dividend will show noticeably different figures. Enter whichever annual total matches the question you are asking.

Yield on cost

If you already own the shares, enter the price you paid instead of today's price to get your yield on cost. For a holding bought years ago at a lower price and with a growing dividend, yield on cost can be several times the current market yield; it describes your own income return, not whether the shares are attractive to buy today.

Worked example

A share paying $0.55 a quarter and trading at $44

Annual dividend:$0.55 × 4= $2.20

Dividend yield:$2.20 ÷ $44.00 × 100= 5.00%

Income per $1,000:5.00% × $1,000= $50.00 a year

If the price rose to $55 with the same dividend, the yield would fall to 4.00%; the company has not paid less, the shares just cost more.

Tips & Best Practices

•Compare yields with the same basis: trailing to trailing, or forward to forward.
•A yield far above comparable companies often means the price has fallen on fears the dividend will be cut; check payout ratio and recent announcements before relying on the income.
•Special or one-off dividends inflate a trailing yield for a year; exclude them if you want the recurring income.

Frequently Asked Questions

Does dividend yield include share price gains?

No. Yield measures cash dividends only. Total return adds the change in share price; a 3% yield on a share that also rose 7% gives roughly a 10% total return for the year.

What counts as a good dividend yield?

It depends on the market and interest rates. Broad US stock indexes have yielded roughly 1.2% to 2% in recent years, utilities and REITs commonly 3% to 6%. A yield should be judged against similar companies and against what a government bond pays, not as an absolute number.

Is the yield before or after tax?

Before tax. Dividends may be taxed as ordinary income or at a lower qualified rate depending on your country, the holding period, and the account type; the calculator does not adjust for tax.

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