Dividend Yield Calculator
Calculate dividend yield and the annual income from a holding based on share price and annual dividend per share.
Formula and sources updated · Data sources · 1View algorithm, constants and default inputs (JSON)
Comparison
About this calculator
Estimated dividend yield is the annual dividend per share you enter divided by the current share price you enter. Annual income assumes that dividend and share count stay unchanged for a year. Dividends can change or stop; yield excludes share-price changes, taxes and fees. Yield on cost is a ratio to your entered cost basis, not total return.
Worked example
calculated with the default values below
Share price 50 $ · Annual dividend per share 2 $ · Number of shares 100 shares · Your average cost per share 45 $ Dividend yield 4.00 % · Yield on your cost 4.44 % · Annual dividend income 200.00 $ · Position value 5,000.00 $
Method and assumptions
Y = D ÷ P × 100; Yc = D ÷ C × 100; I = D × n; V = P × n Y and Yc compute only when P or C is greater than 0, otherwise they return 0; I and V scale the per-share values by n. Estimated dividend yield is the annual dividend per share you enter divided by the current share price you enter. Annual income assumes that dividend and share count stay unchanged for a year. Dividends can change or stop; yield excludes share-price changes, taxes and fees. Yield on cost is a ratio to your entered cost basis, not total return. The references explain definitions and methods; any extra preset must be checked against the assumptions on this page.
Data sources
The references explain definitions and methods; any extra preset must be checked against the assumptions on this page.
Disclaimer
These calculators give estimates for general information only. They are not financial, tax or investment advice and do not take your personal circumstances into account. Before borrowing, investing or filing, confirm the numbers with a qualified adviser in your jurisdiction.
Implementation source
This record describes the implementation used by this page. It is not independent validation. External references, when available, support only the stated formula or definition; estimates and custom rules retain their own assumptions.
Formula and variables
Y = D ÷ P × 100; Yc = D ÷ C × 100; I = D × n; V = P × n
- D
- annual dividend per share
- P
- current share price
- C
- cost basis per share
- n
- number of shares
- Y
- dividend yield, %
- Yc
- yield on cost, %
- I
- annual dividend income
- V
- position value
Y and Yc compute only when P or C is greater than 0, otherwise they return 0; I and V scale the per-share values by n.
Frequently asked questions
Why does yield on cost differ from the current dividend yield?
The tool computes the headline yield as annual dividend divided by today share price, but yield on cost divides the same dividend by your average cost per share. With the defaults of a $50 price, $45 cost and $2 dividend, the current yield is 4% while yield on cost is about 4.44%, because you paid less than the present price. Annual income of $200 and a $5,000 position value come straight from the dividend per share times your 100 shares.
Which inputs and limits apply to Dividend Yield Calculator?
Use the units shown beside each field. These are form limits, not recommended settings. Share price: 0.01–1,000,000 $; Annual dividend per share: 0–100,000 $; Number of shares: 0–10,000,000 shares; Your average cost per share: 0–1,000,000 $ Y = D ÷ P × 100; Yc = D ÷ C × 100; I = D × n; V = P × n Y and Yc compute only when P or C is greater than 0, otherwise they return 0; I and V scale the per-share values by n. Estimated dividend yield is the annual dividend per share you enter divided by the current share price you enter. Annual income assumes that dividend and share count stay unchanged for a year. Dividends can change or stop; yield excludes share-price changes, taxes and fees. Yield on cost is a ratio to your entered cost basis, not total return. The references explain definitions and methods; any extra preset must be checked against the assumptions on this page.
What is a complete worked example for Share price = 50 $; Annual dividend per share = 2 $?
Inputs: Share price = 50 $; Annual dividend per share = 2 $; Number of shares = 100 shares; Your average cost per share = 45 $. Calculation: Y = D ÷ P × 100; Yc = D ÷ C × 100; I = D × n; V = P × n. Results: Dividend yield = 4.00 %; Yield on your cost = 4.44 %; Annual dividend income = 200.00 $; Position value = 5,000.00 $.