About the Dividend Yield Calculator
What is the Dividend Yield Calculator?
Dividend yield tells you how much a company pays out in dividends each year relative to its share price — the cash return you earn just for holding the share. It lets you compare the income from a stock with interest from a deposit or bond.
Enter the share price and the total dividend per share for the year. Add earnings per share to see the payout ratio, the share of profits paid out, and the number of shares you hold to see your dividend income.
How to use the Dividend Yield Calculator
- Current Share Price (₹) (sample: 250)
- Total Dividend per Share in a Year (₹) — add together all dividends declared in the last 12 months. (sample: 12)
- Earnings per Share (₹, optional for payout ratio) — optional; used for the payout ratio. (sample: 30)
- Shares You Hold (sample: 100)
- Press Calculate Dividend Yield (results also refresh as you type). The result card shows the Dividend Yield, along with Your annual dividend income, Value of your holding, Dividend payout ratio and Earnings retained per share.
Formula used
Dividend yield = Annual dividend per share ÷ Share price × 100
- Payout ratio = Dividend per share ÷ Earnings per share × 100
Earnings retained per share (EPS − DPS) are reinvested in the business and drive future growth.
Worked example
These are the sample values already filled in the calculator above, and the result it returns for them:
| Input | Sample value |
|---|---|
| Current Share Price (₹) | 250 |
| Total Dividend per Share in a Year (₹) | 12 |
| Earnings per Share (₹, optional for payout ratio) | 30 |
| Shares You Hold | 100 |
| Result | Value |
|---|---|
| Dividend Yield | 4.8% |
| Your annual dividend income | ₹1,200 |
| Value of your holding | ₹25,000 |
| Dividend payout ratio | 40% |
| Earnings retained per share | ₹18 |
Tips for using the Dividend Yield Calculator
- Payout ratios above about 80% may not be sustainable unless the business is very stable.
- The yield rises when the price falls — check why the price is low before chasing a high yield.
- Compare yield with the company's dividend history over several years.
