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Dividend Yield Calculator

Calculate dividend yield percentage and annual dividend income from stocks

Stock Details

Quick Examples:

Dividend Yield

5.00%

Annual return from dividends

Investment Summary

Total Investment₹1,00,000.00
Annual Dividend Income₹5,000.00
Monthly Income₹416.67
Quarterly Income₹1,250.00

Yield Assessment

High Yield: Above 5% is considered excellent for dividend investors

What is Dividend Yield?

Dividend yield is a financial ratio that shows how much a company pays out in dividends each year relative to its stock price. It's expressed as a percentage and is calculated using the formula:

Dividend Yield = (Annual Dividend per Share / Stock Price) × 100

For example, if a stock trades at ₹1,000 and pays an annual dividend of ₹50, the dividend yield is 5%. This means you earn ₹5 for every ₹100 invested annually through dividends alone.

Why Dividend Yield Matters

Passive Income Stream

Regular cash flow without selling shares

Company Health Indicator

Consistent dividends signal financial stability

Portfolio Strategy

High yields suit retirees and income investors

💡 Pro Tips for Dividend Investors

Sustainability: Check if the company can maintain dividend payouts from earnings

Growth vs Income: High-growth companies often pay lower dividends

Dividend Aristocrats: Look for companies with 25+ years of consistent dividend increases

Tax Implications: Dividends are taxable; plan accordingly with your tax bracket