Remember that profitability shares - the ratio of profit per share, its market value.This value is directly proportional to the growth rate shares and the dividend.Last for the investor is usually less important than the change in value of the shares .Investors are more interested in not yield a shares , and the total yield of the acquired portfolio.
Note that the yield action will depend on the income received as a result of the growth of the market value of the securities and the amount of the dividend.When calculating the profitability necessary to determine the period, iethe time at which the owner of the shares a profit. Yield action can be both positive and negative.
Consider an example.Investor acquired April 1 share at a price of 180 rubles, and on September 1 sold it for 200 rubles. Yield will be: (200-180) / 180 x 100% = 11.1%.That is, during the period the investor received a yield of 11.1%.
To calculate the annual yield, use the formula: yield = income / value of investments x 365 (366) / tenure share x 100%.In our example, the annual yield is: 20/180 x 365/153 x 100% = 26.5%.That is, the investor owned the share 153 days and the yield was 26.5%.
Dividend yield is calculated as the ratio of the dividend per share to the current market price of the shares .The higher the index, the more attractive shares to the buyer.But this formula can be assessed only yield in the previous period.The results of the company in the future, can not guarantee the same level of profitability this year.
So you can calculate the prospective dividend yield.It is defined as the ratio of the expected dividend per share to the current market value of the shares .The expected level of dividends in this case may be calculated and paid on the basis of an interim dividend.