http://www.thesunsfinancialdiary.com/investing/bank-dividend-yield-revisited/ Fri, 03 Feb 2012 17:42:24 +0000 hourly 1 http://wordpress.org/?v=3.3.1 http://www.thesunsfinancialdiary.com/investing/bank-dividend-yield-revisited/#comment-43031 Sun Fri, 27 Jun 2008 03:41:54 +0000 http://www.thesunsfinancialdiary.com/investing/stock/bank-dividend-yield-revisited/#comment-43031 DIV: What you said is exactly what is happening with those banks: the rise of the dividend yield is not from the increase of the dividend payout, but from the falling share price. At this level, the yield looks attractive, but nobody wants to own a stock that's heading nowhere but south. DIV: What you said is exactly what is happening with those banks: the rise of the dividend yield is not from the increase of the dividend payout, but from the falling share price. At this level, the yield looks attractive, but nobody wants to own a stock that’s heading nowhere but south.

]]> http://www.thesunsfinancialdiary.com/investing/bank-dividend-yield-revisited/#comment-43010 DIV Wed, 25 Jun 2008 02:01:20 +0000 http://www.thesunsfinancialdiary.com/investing/stock/bank-dividend-yield-revisited/#comment-43010 Be careful when looking at yield. The dividend yield is calculated by taking the past dividend divided by the current value of the stock. When a stock prices fall, the yield increases, based on the previous dividend. For example, BAC dividend has been $0.64 for the past 4 quarters. The actual amount has not increased, but the value of the stock has decreased. There is never any guarantee of future dividends, and falling stock prices may eat up any effective gains. Be careful when looking at yield. The dividend yield is calculated by taking the past dividend divided by the current value of the stock. When a stock prices fall, the yield increases, based on the previous dividend. For example, BAC dividend has been $0.64 for the past 4 quarters. The actual amount has not increased, but the value of the stock has decreased. There is never any guarantee of future dividends, and falling stock prices may eat up any effective gains.

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