Dividend per Share

The dividend per share of a company basically refers to the total dividend the company pays divided by the total shares it has outstanding. It is similar to the earnings per share except that as against earnings, dividends is the numerator. Dividend per share is also a very important terminology as it tells an investor how much of the company’s dividend he is receiving on a per share basis. The dividend you get per share should also be compared with dividends the company declares in the past and what its peers have declared as well. This helps you determine if you are getting a good value on your return.

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