What Does Dividend Yield Tell You About a Company?
In this video, Thomas Brock explains that a dividend yield measures the annual dividend income a company pays relative to its stock price, showing investors how much income they can expect for each dollar invested.
Video Transcript
A dividend yield is a measure of the amount of dividend income a company will pay you over a one year horizon divided by that company's stock price. For an investor, a dividend yield tells you how much income you can expect to receive for every dollar you invest in a company.
