Dividend Yield Calculator
Use this Dividend Yield Calculator to work out a stock's dividend yield from its share price and annual dividend per share. Enter the number of shares you own and it also estimates your annual dividend income, the market value of your holding, and a monthly average equivalent. It uses only the figures you enter.
Run your numbers.
Change any value and the results update instantly. Nothing leaves your device, and no live market data is used.
Currency only changes how amounts are displayed. No amounts are converted. Enter the share price and the dividend in the same currency.
Inputs
Default values are examples, not real quotes. Replace them with figures from your own source.
Results
Dividend yield
Dividend yield is not total return. It leaves out share price changes, fees and taxes.
The annual dividend is larger than the share price, so the yield is above 100%. Check that both figures are per share and in the same currency.
The monthly figure is annual dividend income divided by 12. It is an average, not a promise that dividends are paid monthly.
Yield at other share prices
An illustration using your annual dividend per share, unchanged. Real share prices and dividends can both change.
| Share price | Dividend yield | Compared with entered price |
|---|
How this is calculated
Dividend yield (%) = annual dividend per share ÷ current share price × 100. Annual dividend income = annual dividend per share × number of shares. Market value = current share price × number of shares. Monthly average equivalent = annual dividend income ÷ 12.
Estimate only, based on the figures you entered. Dividends are not guaranteed, and the estimate excludes taxes, brokerage fees and other costs.
The math behind the calculator.
Every figure on this page comes from these formulas and the numbers you enter.
Dividend yield formula
Dividend Yield (%) = (Annual Dividend Per Share ÷ Current Share Price) × 100- Annual dividend per share: the total dividend paid or expected for one share over a year
- Current share price: the price of one share, in the same currency as the dividend
Income, value and monthly average
Annual Dividend Income = Annual Dividend Per Share × Number of SharesMarket Value = Current Share Price × Number of Shares
Monthly Average = Annual Dividend Income ÷ 12
The monthly average is an annualised arithmetic average. It does not mean the company pays monthly.
Yield, income and total return
- Dividend yield is a percentage: the dividend relative to the share price.
- Dividend income is an amount of money: the dividend per share multiplied by the shares you own.
- Total return can include dividends and changes in the share price, less costs. Yield alone does not measure it.
Where the dividend figure comes from
The annual dividend you enter may be a trailing figure (dividends paid over the last 12 months) or a forward estimate (the dividend expected over the next 12). The calculator does not look up or verify either, and it does not check whether a dividend was actually paid or announced. The result is only as reliable as the numbers you provide.
Worked example.
Share price 50, annual dividend per share 2, and 100 shares owned. These are the calculator's default values.
Dividend yield
4% (2 ÷ 50) × 100 = 4%Annual dividend income
200 2 × 100 = 200Market value
5,000 50 × 100 = 5,000Monthly average equivalent: about 16.67
200 ÷ 12 ≈ 16.67. This is an average only. If a company paid four equal quarterly dividends, each would be 200 ÷ 4 = 50, but that is an illustration of one possible schedule, not a prediction. The income is based on the assumed annual dividend, and actual future dividends may differ.
What Is a Dividend Yield Calculator?
A dividend yield calculator works out how large a company's annual dividend is compared with its share price. You enter the current share price and the annual dividend per share, and the calculator returns the stock dividend yield as a percentage. If you also enter the number of shares you own, it estimates your annual dividend income, the market value of your holding, and a monthly average equivalent.
Every figure comes from the numbers you type in. The calculator does not fetch live prices or dividend data, and it cannot tell whether a dividend has been paid or announced, so check your inputs against a source you trust.
What Is Dividend Yield?
Dividend yield expresses the annual dividend per share as a percentage of the current share price. It answers a simple question: for each unit of currency a share costs today, how much dividend is paid out over a year? A share priced at 50 that pays 2 per year has a dividend yield of 4%.
Because the share price sits in the denominator, the yield moves whenever the price moves, even if the dividend stays the same. Yield describes the dividend relative to price. It is not a measure of profit, and it says nothing by itself about how well a business is run.
How to Use This Dividend Yield Calculator
Fill in the three inputs from top to bottom:
- Current Share Price: the price of one share that is relevant to your calculation, such as a recent quote or a price you want to test. It must be greater than zero.
- Annual Dividend Per Share: the total dividend per share for one year, in the same currency as the price. Use dividends paid over the last twelve months or an estimate for the next twelve. Zero is allowed.
- Number of Shares Owned: whole shares only. It is used for income and market value, and the yield does not depend on it. Zero is allowed.
- Currency format: changes the symbol and number format only. It does not convert anything, so the price and the dividend must already be in the same currency.
The dividend yield is the largest result. Below it, the cards show the annual dividend per share, annual dividend income, the market value of your shares, and the monthly average equivalent, which is annual income divided by 12. A table also shows how the same dividend would yield at other share prices.
Dividend Yield Formula
The dividend yield formula is:
Dividend Yield (%) = (Annual Dividend Per Share ÷ Current Share Price) × 100Annual dividend per share is the total dividend for one share over a year. Current share price is the price of one share. Both must be per-share figures in the same currency. Dividing a company's total dividend payout by a per-share price, or mixing two currencies, gives a result that means nothing.
Two supporting calculations use the number of shares you own:
Annual Dividend Income = Annual Dividend Per Share × Number of Shares OwnedMarket Value = Current Share Price × Number of Shares Owned
Dividend Yield Calculation Example
Take a share priced at 50 that pays 2 per share per year, held by an investor who owns 100 shares.
Dividend Yield = (2 ÷ 50) × 100 = 4%Annual dividend income is 2 × 100 = 200, and the market value of the holding is 50 × 100 = 5,000. Dividing 200 by 12 gives a monthly average equivalent of about 16.67. That is only an average, because companies may pay once, twice, four times a year, or on another schedule. The income is also based on the assumed annual dividend, and actual future dividends may differ.
Dividend Yield vs. Dividend Income
Yield is a percentage, while dividend income is an amount of money. The number of shares owned affects income but not yield. At a price of 50 and an annual dividend of 2, the yield is 4% whether you own 10 shares or 10,000. Ten shares would receive 20 a year, and 10,000 shares would receive 20,000. Doubling your shares doubles both income and market value, and the yield stays at 4%.
Yield is useful for comparing dividends relative to price across different shares. Income tells you what a particular holding would receive from the dividend you assume.
Dividend Yield vs. Total Return
Dividend yield looks only at the dividend. Total return can include dividend income and changes in the share price, and it may be reduced by costs such as brokerage fees and taxes. A stock with a 4% yield whose price falls 15% over the year has a negative total return before costs, despite paying a dividend. Equally, a stock that pays no dividend can have a positive total return through price growth.
This calculator reports yield and dividend income only. It does not measure capital gains or losses, fees or taxes.
Trailing Dividend Yield vs. Forward Dividend Yield
A trailing dividend yield uses dividends actually paid over a preceding period, commonly the last twelve months. A forward dividend yield uses an estimate of the annual dividend expected over the next twelve months, for example the current dividend rate annualised. Trailing figures reflect what has happened. Forward figures reflect an expectation, and forward dividends can be raised, reduced or suspended before they are paid.
This tool does not retrieve either figure. You decide which annual dividend per share to enter, and the result is only as reliable as that number. When you compare yields from different sources, check which basis each one uses.
What Causes Dividend Yield to Change?
Two things: the dividend and the share price. If a company raises its dividend and the price stays the same, the yield rises. A dividend cut lowers the yield, and a suspension takes it to zero. The share price works the other way round. A higher price lowers the yield and a lower price raises it, even when the dividend has not changed.
The table below holds the annual dividend at 2 and changes only the price. In real markets both can move at once, so a yield can shift from either side.
| Share price | Dividend yield | Relative size |
|---|---|---|
| 25 | 8.00% | |
| 40 | 5.00% | |
| 50 | 4.00% | |
| 100 | 2.00% |
A higher yield in this table does not mean a better investment or a higher future return. It only means the same dividend is being compared with a lower price.
Limitations and Risks of Dividend Yield
Dividend yield is a simple ratio, and it has clear limits:
- Dividends are not guaranteed. Companies may change, reduce, suspend or eliminate payments.
- Yield does not measure business quality. It says nothing by itself about a company's profits, debt or ability to keep paying.
- It is not proof of value or suitability. A high yield does not show that a stock is undervalued, and no yield is right for every investor.
- Very high yields deserve a closer look. An unusually high yield can reflect a falling share price or a dividend that may not be sustained, among other possible reasons. That is not always the case.
- Costs are excluded. Taxes, brokerage fees and other investment costs are not deducted.
This page is educational. It does not recommend buying or selling any security.
Frequently asked questions.
What is a dividend yield calculator?
A Dividend Yield Calculator estimates a stock's dividend yield from the current share price and annual dividend per share you enter. It can also estimate annual dividend income, the market value of your shares, and a monthly average equivalent. It uses only your inputs and does not retrieve live market data.
How do you calculate dividend yield?
Divide the annual dividend per share by the current share price, then multiply by 100. For example, an annual dividend of 2 on a share priced at 50 gives (2 ÷ 50) × 100 = 4%.
What is the dividend yield formula?
Dividend Yield (%) = (Annual Dividend Per Share ÷ Current Share Price) × 100. Both figures must be per share and in the same currency. Annual dividend income is the annual dividend per share multiplied by the number of shares owned.
What is a good dividend yield?
There is no single yield that is automatically good for every stock or investor. Relevant factors include whether the dividend is sustainable, how the business is performing, the risks involved, and the investor's own objectives. A higher yield is not necessarily better than a lower one, and a very high yield can sometimes reflect a falling share price or a dividend that may not be sustained.
What is the difference between dividend yield and dividend income?
Dividend yield is a percentage that compares the annual dividend per share with the share price. Dividend income is an amount of money, equal to the annual dividend per share multiplied by the number of shares you own. With an annual dividend of 2 and a price of 50, the yield is 4% whether you own 100 shares or 1,000, but the income is 200 or 2,000.
Does dividend yield change when the share price changes?
Yes. If the annual dividend stays the same, a higher share price lowers the yield and a lower share price raises it. With an annual dividend of 2, a price of 50 gives 4%, a price of 100 gives 2%, and a price of 40 gives 5%.
What is the difference between trailing and forward dividend yield?
A trailing dividend yield uses dividends paid over a preceding period, often the last twelve months. A forward dividend yield uses an estimate of the annual dividend expected over the next twelve months. This calculator uses whichever annual dividend per share you enter, and forward estimates may change, be reduced, or be suspended.
Can a dividend yield be zero?
Yes. If a company pays no dividend, or you enter an annual dividend per share of 0, the dividend yield is 0%. This is a valid result, not an error. The share price, however, must be greater than zero.
Does dividend yield include capital gains?
No. Dividend yield does not include share-price appreciation or losses, and it does not account for fees or taxes. Total return can combine dividends with changes in the share price, so yield alone does not measure overall investment performance.
Are dividends and dividend yields guaranteed?
No. Companies may change, reduce, suspend, or eliminate dividend payments, and share prices can rise or fall, which changes the yield. The calculator shows a mathematical estimate based on the figures you enter, not a promise of future dividends or returns.
Financial disclaimer
This calculator estimates dividend yield and potential dividend income using the share price, annual dividend per share, and number of shares entered. Dividend payments and share prices can change, and dividends are not guaranteed. The estimate excludes taxes, brokerage fees, and other investment costs. Results are for educational purposes only and do not constitute financial or investment advice.