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Dividend Yield Calculator

📁Finance

🛠Free to use

🔄Updated March 2026

Calculate dividend yield, annual income projections, and yield on cost for stocks. Build and analyze your dividend income portfolio.

Launch Dividend Yield Calculator → Stock Profit Calculator

Understand Your Dividend Income

Dividend yield tells you how much income a stock pays relative to its price. The Dividend Yield Calculator computes current yield, forward yield, yield on cost, and projected annual income based on your share count and dividend per share.

For income-focused investors, dividend yield is the most important metric for comparing stocks. A $50 stock paying $2 annually yields 4%, while a $200 stock paying $6 yields only 3%. This calculator makes those comparisons instant.

Enter the current stock price, annual dividend amount, and number of shares you own to see your expected income and how it compares to market averages.

Key Features

Current Yield

Calculate dividend yield as annual dividend divided by current stock price, updated in real time.

Yield on Cost

See your effective yield based on what you originally paid per share, not the current market price.

Annual Income Projection

Multiply yield by your share count to see expected annual and monthly dividend income.

DRIP Calculator

Model dividend reinvestment (DRIP) to see how compounding dividends grow your position over time.

Portfolio Summary

Add multiple dividend stocks to see total portfolio yield and income distribution.

Payout Ratio Check

Enter earnings per share to calculate the payout ratio and assess dividend sustainability.

How to Use Dividend Yield Calculator

Enter Stock Price

Input the current share price or your cost basis for yield-on-cost calculations.

Enter Annual Dividend

Type the annual dividend per share (or quarterly dividend, which the tool multiplies by 4).

Add Share Count

Enter how many shares you own to calculate total annual dividend income.

Review Results

See current yield, yield on cost, projected annual income, and DRIP growth projections.

Use Cases

Stock comparison — Compare dividend yields across multiple stocks to identify the best income opportunities.
Retirement planning — Calculate how many shares you need to generate your target retirement income from dividends.
DRIP analysis — Model how reinvesting dividends compounds your returns over 10, 20, or 30 years.
Payout sustainability — Check whether a company's dividend payout ratio suggests the dividend is safe or at risk of being cut.

Frequently Asked Questions

What is a good dividend yield?

The S&P 500 average is around 1.3-1.5%. Yields of 3-5% are considered high. Yields above 7-8% may signal risk of a dividend cut.

What is yield on cost?

Yield on cost uses your original purchase price instead of the current price. If you bought at $40 and the stock now pays $3/year, your yield on cost is 7.5% even if the current yield is lower.

Should I always pick the highest yield?

No. Very high yields often indicate a stock price drop due to business problems. Check the payout ratio and earnings trend before chasing yield.

How does DRIP work?

Dividend Reinvestment Plans (DRIPs) automatically use your dividends to buy more shares. This compounds your returns because each new share also earns dividends.