What does the dividend yield % mean on stocks, especially monthly dividends?

What does the dividend yield % mean on stocks, especially monthly dividends?

If a stock has a yield of 5%, does that mean they pay out 5% of your total ownership of the stock every month/year?

year.

if the dividend is quarterly, they pay the div/4
biannually, div/2
annual div/1

most do quarterly, but sometimes their is as much as monthly

Thanks.

But they were lying.

For instance, if the dividends are 8$ and the stock price is 40$ you get a 5% yield.

It means you get 5% of the profits.

Bruh, check that math, dafuq.

It's simple math you fuckhead. You divide the dividend by the stock price and that's how you get the yield. Go back to /pol/.

8/40 = 20% you highschool dropout.
Holy shit Veeky Forums remember this is who you are getting advice from.

whats wrong with pol shitskin?

If you have ask, then you'll never know.

RETARD ALERT

I cant believe youre this unable. You dissapoint me. Come back when you finish kindergarden.

>ITT anons cant into simple math

?????? Are you disputing that 8/40 = 1/5 = 0.2 = 20%?

Learn to PEGMAS

>american common core in action

You missed my point by a hundred miles.

I kek'd mightily.
That's the worst mate on the internet's, divisible by 5 does not 5% make

>this fucking thread

When will you guys learn that 20/4=5?

I blame stock tracking sites. They often just print a percentage with zero context.

Let's use F (Ford). Price is $13.45 per share. I know it's quarterly because I hold it. Dividend last quarter was $0.15 per share or $0.60/4.46% annually.

Scottrade tells you "4.46%." Yahoo tells you "0.60." Google tells you "0.15/4.46."

They're all missing context. I don't know if they do it to trick people new to stocks or just assume people looking at it already know.

What's the point then?

The other user was right tho. Look, it's simple. OP wanted to know what 5% was. Well, let's say you invest 40 dollars. That's the original investment, not something you pay later, ok? And let's, for the sake of simplicity, assume that you can sell the stock for 40 at any given moment. Now let's say that the annual dividend is 8. 8/40=5. You have to keep in mind that the 40 is the denominator. So that could work as a 5% dividend, or "yield".