I understand the formula for dividend yield is dividend per share divided by share price.
- For the share price of historical high yield, do I use the amount on the day the dividend is given out or the day it hit the lowest share price during a time period? e.g. if the dividend is given out on 2 Aug 2020 but lowest share price was on 8 Sep 2020, which do I use as the denominator for 2020 yield? Likewise for historical high.
- For the dividend per share, do I use the sum of the total dividends given out during the entire year and divide by the no. of the times dividend was given out? i.e. average; or use the dividend given out during the period of lowest/highest share price?
Thanks in advance. :)
- Yes, we use the highest and lowest price for that financial year where the dividend was declared.
- You use the total sum, but please exclude special dividends as we would wish to focus on those recurring ones.
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