Dividend Yield

The Dividend Yield Calculator computes two important metrics for income investors: current yield (annual dividend divided by current price) and yield on cost (annual dividend divided by your purchase price). These metrics help evaluate the income-generating potential of stocks, ETFs, and REITs. Enter the annual dividend per share, current market price, and your cost basis to see both yield figures. The comparison reveals how dividend growth over time can significantly increase your effective yield even as the headline yield appears modest. Income investors use dividend yield to compare investments, but smart investors focus on yield on cost to measure the true income return on their original investment. A stock bought years ago with a 2% yield may now deliver 5%+ yield on cost through dividend growth.