What is Dividend Yield?
Dividend yield measures the income a stock pays relative to its price. The current yield divides the annual dividend per share by today's share price. Yield-on-cost divides by your average purchase price — showing how much income you earn relative to what you originally invested, which grows over time if the company raises its dividend.
Formula
Two yield metrics for dividend stocks:
Dividend yield = (Dividend / Share Price) × 100 Yield on cost = (Dividend / Avg Buy Price) × 100 Yield on cost is useful for long-term holders: if you bought at ₹200 and the stock is now ₹500, yield on cost is 2.5× the current yield.
How to use this calculator
Enter the annual dividend per share, the current market price, and your average buy price. The calculator shows both the current dividend yield (useful for comparing stocks) and the yield-on-cost (useful for assessing your existing holdings).