Dividends

Yield is annual dividends divided by the price, so the figure moves when the price moves even if the payout does not. A price drop raises the yield. A rally cuts it. The yield is not a measure of how safe the payment is.

The payout ratio is the check that sits next to the yield. Dividends larger than earnings, or larger than free cash flow, are being financed rather than earned. A modest yield that grows is often a better income holding than a high yield that consumes the business.

The growth streak counts consecutive years of a higher dividend. One large jump can be a catch-up. Compare the streak with the payout: if the dividend grows faster than earnings for long enough, the payout climbs until the streak breaks.

The ex-date is the day the share starts trading without the next dividend. The pay date is when the cash is sent. Frequency is how often those dates arrive: monthly, quarterly, twice a year, or once a year. A stock's own five-year average yield shows whether today's yield is high or low for that company, not for the market.

Free-cash-flow coverage asks whether the cash left after the business reinvests is enough to fund the dividend. Coverage above one means the dividend fits inside free cash flow. Coverage below one means the company is using other sources.

Stock pages keep only the figures for that company: the streak, the payout against the sector median, the last raise, today's yield against the stock's own five-year average, the next dates, and the cash-flow cover. The definitions stay on this page.

Formula

A dividend is cash paid to shareholders, usually on a regular schedule.