posted
You would get .40 per share that you own. Using your example the stock would be selling for 40.00 per share. The yield is x% of the stock price on the day the dividend is declared. If this stock dropped to 20.00 per share and they still paid out a flat .40 per share dividend, the yield would be 2.00 or 2%. If however they declared a 1% dividend, then you would only get .20 per share.
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