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Stock Trading
~~~J~~~ asked:


Example:

If a company paid a dividend of $5.10 per share and the yield was 8.14%, how much is the stock currently trading at?
Dividend divided by stock price equals yield (%)
Thank you!

Taylor

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Comments

k_oolguy1979 on 15 September, 2009 at 2:32 pm #

The formula for calculation of Yield is as follows:

Yield (%) = Dividend per share/Current market price of share

So in this case, current trading price is = $5.10/8.14% = $62.65

Cheers
Ajay


shshao on 17 September, 2009 at 3:40 pm #

stock price equals Dividend divided by yield (%)