Equity Valuation
Dividend Yield
Definition
What is Dividend Yield?
Annual dividendA payment made from a company's profits to eligible shareholders. per share divided by the current share priceThe market price at which one share is quoted or traded..
Example in practice
How This Looks in Practice
A ₦4 annual dividend on an ₦80 share gives a 5% dividend yield.
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Related Terms
Equity Valuation
Earnings Per Share
Net income attributable to ordinary shareholders divided by weighted average ordinary shares.
Equity ValuationDiluted Earnings Per Share
Earnings per share assuming potentially dilutive securities convert into ordinary shares.
Equity ValuationBasic Earnings Per Share
Earnings per share calculated using actual weighted average ordinary shares outstanding.
Cash Flow AnalysisOperating Cash Flow
Cash generated or used by a company's core operations.