Dividend yield

Dividend yield is a financial ratio that shows how much a company pays out in dividends each year relative to stock price. Aka, the dividend payment per share divided by the current stock price. A higher dividend yield can be appealing, but investors need to consider a company’s financial health and stock price movement. Mature, blue chip companies, and those in utility and consumer staple industries often have relatively higher dividend yields. Read which companies, ETFs and REITs pay the best dividends.