How Do I Choose the Best High-Yield Dividend Stocks?
Dividend yield is also called profit rate, which refers to the ratio of the company's cash dividends to the purchase price of the stock (the original market price per share). This yield can be used to calculate the dividend yield that has been obtained, and it can also be used to predict the possible future dividend yield; the holding period yield refers to the sum of the dividend income and the bid-ask spread during the period when the investor holds the stock and the stock purchase price. ratio.
Dividend yield
- Dividend Yield = (
- Dividend yield is also one of the reference criteria for selecting other types of stocks. It is not only the level of dividends and dividend payout that determines the level of dividend yield, but also the stock price. For example, for two stocks, the share price of A is 10 yuan, and the share price of B is 20 yuan. The two companies also pay a dividend of 0.5 yuan per share. The 5% dividend yield of company A is obviously more attractive than that of company B by 2.5%.