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Glossary term

Dividend Yield

Annual dividend ÷ share price

🌍 UniversalReviewed Plain-English
Definition

What is Dividend Yield?

Dividend yield is the annual cash dividend per share divided by the current share price, expressed as a percentage. A ₹5 dividend on a ₹100 share = 5% yield. Yields above ~6% often signal a struggling business (price has fallen faster than the dividend cut); 2–4% is typical for mature companies.

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