Dividend Yield

2 months ago
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Dividend yield is a financial ratio that shows how much a company pays out in dividends each year relative to its stock price. It is expressed as a percentage and calculated by dividing the annual dividends per share by the price per share.
Investors use dividend yield to gauge the return on investment from dividends alone, excluding any potential capital gains.
A higher yield can indicate a good investment for income-focused investors, but it can also sometimes signal a company in distress if the yield is unusually high due to a falling stock price.

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