This the ratio of the dividend calculated per share to that of the share price of each share. The dividend ratio indicates the percentage of amount an investor or a shareholder is earning per share of a company. The formula of dividend yield ratio
Dividend yield ratio
The dividend yield is the ratio that shows the amount of dividends that a company pays to its sponsors in comparison to the market price of its stock. .It is a evaluation of what percentage a sponsor is earning in the form of dividends.
Dividend Yield Ratio: Definition: Dividend yield ratio is the relationship between dividends per share and the market value of the shares. Share holders are real owners of a company and they are interested in real sense in the earnings distributed and paid to them