12 June 2022 3:14

Is this the correct way to calculate how much I’ll get paid on Dividend Payable date?

How do you calculate how much you’ll receive in dividends?

When you know the number of shares of company stock you own and the company’s DPS for the most recent recent time period, finding the approximate amount of dividends you will earn is easy. Simply use the formula D = DPS multiplied by S, where D = your dividends and S = the number of shares you own.

How do I calculate my payout?

In other words, it is the percentage of the company’s earnings paid out to the investors. The payout ratio formula can also be expressed as dividends per share divided by earnings per share (EPS). Mathematically, it is represented as, Payout Ratio = Dividends Per Share / EPS.