What Does Dividend Yield Mean?

[Chinyere]

Some people see ₦2 dividend and think it is small, but what matters is dividend yield, not just dividend amount.
If a ₦20 stock pays ₦2 dividend → that is 10% yield
If a ₦500 stock pays ₦10 dividend → that is 2% yield

Do you check dividend yield before buying a stock?

 

[Mr.Simon]

Some people see ₦2 dividend and think it is small, but what matters is dividend yield, not just dividend amount.
If a ₦20 stock pays ₦2 dividend → that is 10% yield
If a ₦500 stock pays ₦10 dividend → that is 2% yield

Do you check dividend yield before buying a stock?

At my early stage of investing that's the number thing I do check which made me lose alot of potential growth stocks I should have made alot of money from

 

[Mr.Simon]

That's where the power of compounding start that 2naria dividend might one day turn to 20, 200 or even 2 million dividend. One just need to keep buying.

Then for those dividend investores its still good to check dividend payout before investing

Some people see ₦2 dividend and think it is small, but what matters is dividend yield, not just dividend amount.
If a ₦20 stock pays ₦2 dividend → that is 10% yield
If a ₦500 stock pays ₦10 dividend → that is 2% yield

Do you check dividend yield before buying a stock?

 

[Chinyere]

At my early stage of investing that's the number thing I do check which made me lose alot of potential growth stocks I should have made alot of money from

Lessons learnt

 

[Chinyere]

That's where the power of compounding start that 2naria dividend might one day turn to 20, 200 or even 2 million dividend. One just need to keep buying.

Then for those dividend investores its still good to check dividend payout before investing

Sure!