The dividend yield (%) is an easy way to compare the relative returns of different stocks. It tells an investor what return he can expect from buying a stock. The dividend yield is the ratio between the annual dividend payout of a share and the current share price. Depending on how a share price develops over the course of the day, the dividend yield changes constantly with the share price.

Dividends have played an important role in the returns investors have receiveds. Since 1960, 82% of the total return on the S&P 500 index has been due to reinvested dividends and the power of compounded interest.