Dividend yield: what it is and how to read it
The dividend the company pays in a year divided by the share price. It tells you what percentage of your investment you would receive in cash each year if the dividend holds.
How it is calculated
Dividend yield = annual dividend per share / share price.
How to read it
4% means 4 a year for every 100 invested, before taxes (foreign dividends often carry a withholding tax in their home country). Above 6%, it is worth checking that the dividend is sustainable.
Dividend yield in the MeridIAn ranking
Among the 1,637 companies in the ranking with data, the median Dividend yield is 2.3%: half are below and half above. The lowest 25% are below 1.1% and the highest 25% above 3.8%.
1,644 of the 2,129 companies with data pay a dividend and 485 pay none, mostly in Technology (52%) and Healthcare (49%). The figures in this section only cover dividend payers.
For example: NVIDIA, 0.4%; Apple, 0.3%; Alphabet, 0.3%; Banco Santander, 2.1%.
By sector
| Sector | Median | Companies with data |
|---|---|---|
| Basic Materials | 1.9% | 127 |
| Communication Services | 2.7% | 76 |
| Consumer Cyclical | 2.4% | 155 |
| Consumer Defensive | 3.0% | 109 |
| Energy | 2.9% | 94 |
| Financial Services | 2.8% | 327 |
| Healthcare | 1.2% | 110 |
| Industrials | 1.6% | 321 |
| Real Estate | 4.4% | 95 |
| Technology | 1.1% | 137 |
| Utilities | 3.5% | 86 |
Highest Dividend yield
What to watch out for
When the share price collapses, the yield rises even if the dividend has not changed, and sometimes the market is anticipating a cut. Check the payout ratio and debt before trusting a very high yield.
Related metrics
All metrics in the glossary → · Stocks by sector and country → · Ready-made screeners →
General information for educational purposes, not investment advice. Figures from the latest weekly analysis (Oct 8, 2026) with the latest available price.