Forward Dividend Yield
Forward dividend yield is a measure of estimating the future yield of a stock. The calculation is done by taking the first dividend payment and annualizing it and then divide that number by the current stock price. In other words if the first quarterly dividend was $0.04 and the current stock price was $10.00 the forward dividend yield would be (.04*4)/10= 1.6%.
The trailing dividend yield is done in reverse by taking the last dividend annualized divided by the current stock price.
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Famous quotes containing the word yield:
“While the white man keeps the impetus of his own proud, onward march, the dark races will yield and serve, perforce. But let the white man once have a misgiving about his own leadership, and the dark races will at once attack him, to pull him down into the old gulfs.”
—D.H. (David Herbert)