Dividend Yield

Dividend Yield is the annual dividend payment a company gives you as a percentage of the stock's current price. Think of it as the return you earn just by holding the stock, separate from any price gains. You'll see this metric when comparing income-focused stocks—it helps you quickly spot which companies are generous with payouts. For example, if TechCorp stock costs $100 and pays $4 in annual dividends, its dividend yield is 4%. A higher yield can be attractive if you want steady income, but it's worth checking why a yield is unusually high—sometimes it signals the stock price has dropped or the company is in trouble. Always pair yield with other fundamentals before investing.