2006-11-24 05:06:52 · 4 answers · asked by bumberclarte 1 in Business & Finance ➔ Investing
A company allocates some of its profit to shareholders - so many pence per share.
If the allocation is 50p and the shares are currently trading at £10.00 then the yield is 5%.
Price * 100/Dividend = Yield
2006-11-24 05:10:48 · answer #1 · answered by Anonymous · 0⤊ 0⤋
The annual dividend divided by the current price is the yield. For example, suppose a stock sells at $40 per share, and they pay a quarterly dividend of 50 cents per share. In a year's time, the total dividend is $2, which is 5% of $40. So the dividend yield is 5%.
2006-11-24 05:13:29 · answer #2 · answered by Carlos R 5 · 1⤊ 0⤋
If a company's share price is $10 each and in the last 12 months it payed a dividend of 20 cents on each share, the dividend yield is said to be
0.20/10 x 100 = 2%
2006-11-24 08:02:54 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Monies made by companies, then distributed at a rate back to the holders (you)for investing in the company. Yield is a form of stating time frame which could be 7-days, 30-days or however the company calulates and distribues their reporting
2006-11-24 05:25:19 · answer #4 · answered by nosey rosey 2 · 0⤊ 0⤋