Dividend Yield Calculator
Work out a stock's dividend yield, your yield on cost and your annual dividend income in one place — just enter the annual dividend per share, the current market price, and optionally your buy price and number of shares.
Dividend yield
4.00%
Yield on cost
5.00%
Annual dividend income
₹2,000.00
| Dividend yield | 4.00% |
| Yield on cost | 5.00% |
| Annual dividend income | ₹2,000.00 |
Yield on cost shows only when a buy / cost price is entered; annual income shows only when number of shares is entered.
Dividend yield is based on the dividend you enter and may change if a company revises its payout. TopOpenTools is not a SEBI-registered investment adviser; this tool is for information only.
Frequently Asked Questions
How is dividend yield calculated?
Dividend yield = annual dividend per share ÷ current market price × 100. For example, a ₹20 annual dividend on a stock trading at ₹500 gives a yield of 4%. It tells you the cash return you earn each year purely from dividends, relative to today’s price.
What is yield on cost?
Yield on cost = annual dividend per share ÷ your buy (cost) price × 100. It measures the dividend return against what you actually paid, not today’s price. If you bought at ₹400 and the dividend is ₹20, your yield on cost is 5% — higher than the 4% current yield because you bought cheaper.
How do I find the annual dividend income?
Annual dividend income = annual dividend per share × number of shares you hold. Holding 100 shares with a ₹20 dividend gives ₹2,000 a year before tax. Enter the number of shares to see this figure.
Is a high dividend yield always good?
Not necessarily. A very high yield can be a sign the share price has fallen sharply or that the payout is unsustainable and may be cut. Always check whether the dividend is covered by earnings and whether the company can keep paying it before relying on the yield.
Is this investment advice?
No. This is a deterministic calculator for information only. TopOpenTools is not a SEBI-registered investment adviser and does not recommend any stock or trade.
Understanding the Dividend Yield Calculator
The Dividend Yield Calculator tells you the annual cash return a stock pays relative to its price, how that return compares to what you actually paid, and how much income your holding generates each year. Enter the annual dividend per share and the current market price to get the dividend yield instantly; add your buy price to see yield on cost, and your number of shares to see total annual dividend income. It is built for Indian investors and shows all money figures in ₹.
How it works
Dividend yield divides the annual dividend per share by the current market price and multiplies by 100, so a ₹20 dividend on a ₹500 share gives a 4% yield. Yield on cost uses the same dividend but divides by the price you originally paid, which is why a cheaper entry produces a higher yield on cost than the current yield. Annual dividend income simply multiplies the per-share dividend by the number of shares you hold. The yield-on-cost and income figures appear only when you supply a buy price and a share count respectively; the core yield always shows from the dividend and current price alone.
Worked example
A stock pays a ₹20 annual dividend and trades at ₹500. Dividend yield = 20 / 500 × 100 = 4%. If you bought it at ₹400, yield on cost = 20 / 400 × 100 = 5%. Holding 100 shares, your annual dividend income = 20 × 100 = ₹2,000 before tax.
Tips & common mistakes
- Use the trailing twelve-month or declared forward dividend per share for the most realistic yield.
- Compare yield on cost with current yield: a much higher yield on cost means you bought well below today's price.
- Treat unusually high yields with caution — they often follow a falling share price or signal a payout that may be cut.
- Remember dividends in India are taxable in the investor's hands at slab rates, so your post-tax income will be lower than the headline figure.
- Re-check the dividend figure each year, as companies can raise, cut or suspend payouts.
Sources & methodology
- • https://www.nseindia.com
- • https://www.sebi.gov.in
- • https://www.investopedia.com/terms/d/dividendyield.asp
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Built and maintained by TopOpenTools · Last updated June 2026. These tools provide general estimates for educational purposes only and are not financial, tax, insurance, investment, or medical advice. Verify important decisions with a qualified professional.