Daily Archives: August 22, 2023

Dividends: Definition in Stocks and How Payments Work

Dividend yield lets you compare the value of dividends from different companies. Stock XYZ, for example, might pay a higher quarterly dividend than ABC of 20 cents per share, for a total annual dividend of 80 cents. Since shares of XYZ are valued at $75 per share, though, the dividend yield is only 1%. You…

Dividends in Accounting

An S&P 500 fund, for example, might pay a dividend yield of 1.77% while some companies within the S&P 500, like Kohl’s, offer dividend yields above 13% (more on yields below). A stock dividend is the issuance by a corporation of its common stock to shareholders without any consideration. However, this has no impact on…