๐น Dividend Yield Calculator
Enter a stock's price and its annual dividend per share, and this tool calculates the dividend yield (%). Enter the number of shares you own to also see your annual dividend income. Handy for comparing dividend yields when choosing between stocks.
How to use
- Enter the current stock price.
- Enter the annual dividend per share.
- Enter the number of shares you own (or plan to own) โ the investment amount, annual dividend income, and yield are calculated automatically.
How the calculation works
This tool calculates the dividend yield from the share price and annual dividend per share, and also shows the annual dividend income and total investment for the number of shares you hold. Dividend yield (%) = annual dividend per share รท share price ร 100 Annual dividend income = annual dividend per share ร shares held Investment = share price ร shares held Dividend yield shows how much dividend you receive each year relative to the share price. With the same dividend, the yield rises when the price falls and falls when the price rises. For companies that pay twice a year (interim and year-end), enter the total of both payments.
Worked example
Share price ยฅ3,000, annual dividend ยฅ60 per share, 100 shares Dividend yield: 60 รท 3,000 ร 100 = 2.00% Annual dividend income: 60 ร 100 = ยฅ6,000 Investment: 3,000 ร 100 = ยฅ300,000 In a taxable account in Japan, 20.315% tax is withheld. 6,000 ร (1 โ 0.20315) โ ยฅ4,781 after tax
Things to be aware of
- Dividends can rise, fall or stop altogether depending on the company's results. Forecast dividends are not guaranteed.
- Dividend amounts here are before tax. In a NISA account they can be tax-free, depending on how you receive them.
- To receive a dividend, you must hold the shares as of the last trading day before the record date.
FAQ
How is the dividend yield calculated?
Using the formula: annual dividend per share รท stock price ร 100.
Where can I find the annual dividend per share?
Check your brokerage's stock info page or the company's earnings materials for the actual or forecast "dividend per share" figure.
Does a higher dividend yield always mean a better investment?
Not necessarily โ a yield can look inflated after a stock price drop, or the company might be at risk of cutting its dividend due to weak earnings. It's worth checking the company's financial health alongside the yield.