Enter the annual dividends ($) and the current stock price ($) into the Return on Dividends Calculator. The calculator will evaluate and display the Return on Dividends.

## Return on Dividends Formula

The following formula is used to calculate the Return on Dividends.

ROD = AD / SP * 100

• Where ROD is the Return on Dividends (%)
• AD is the annual dividends ($) • SP is the current stock price ($)

## How to Calculate Return on Dividends?

The following example problems outline how to calculate Return on Dividends.

Example Problem #1:

1. First, determine the annual dividends ($). • The annual dividends ($) is given as: 50.
2. Next, determine the current stock price ($). • The current stock price ($) is provided as: 200.
3. Finally, calculate the Return on Dividends using the equation above:

ROD = AD / SP * 100

The values given above are inserted into the equation below and the solution is calculated:

ROD = 50 / 200 * 100 = 25.00 (%)

Example Problem #2:

For this problem, the variables needed are provided below:

annual dividends ($) = 75 current stock price ($) = 300

This example problem is a test of your knowledge on the subject. Use the calculator above to check your answer.

ROD = AD / SP * 100 = ?