The dividend payout ratio is the fraction of net income a firm pays to its stockholders in dividends: The part of earnings not paid to investors is left for investment to provide for future earnings growth. Investors seeking high current income and limited capital growth prefer companies with a high dividend payout ratio. However, investors seeking capital growth may prefer a lower payout ratio because capital gains are taxed at a lower rate. High growth firms in early life generally have low or zero payout ratios. As they mature, they tend to return more of the earnings back to investors. The dividend payout ratio is calculated as /EPS. According to Financial Accounting by Walter T. Harrison, the calculation for the payout ratio is as follows: Payout Ratio = (Dividends - Preferred Stock Dividends)/Net Income The dividend yield is given by earnings yield times the dividend payout ratio: Conversely, the P/E ratio is the Price/Dividend ratio times the DPR. (Wikipedia).
Dividends - Payout Ratio vs Retention Ratio
This stocks and bonds video tutorial explains how to calculate the dividend payout ratio and the retention ratio. The payout ratio is equal to the total dividends paid divided by the net income. The retention ratio is equal to the earnings retained divided by the net income. My Website:
From playlist Stocks and Bonds
The Dividend Yield - Basic Overview
This video provides a basic introduction into the dividend yield. It explains what it's used for and how to calculate it. The dividend yield is equal to the annual dividend divided by the current stock price times 100%. The annual dividend is equal to the quarterly dividend times 4 or t
From playlist Stocks and Bonds
This is a short video tutorial on unit ratios...also called unit rates. For interactive applets, worksheets, and more videos go to http://www.mathvillage.info
From playlist All about ratios and proportions
This video defines a ratio and provides several examples on how to write a ratio and shows how to simplify a ratio. http://mathispower4u.wordpress.com/
From playlist Ratios and Rates
How To Calculate The Risk Reward Ratio, Break Even Win Rate, & Expectancy of a Stock Trading System
This video explains how to calculate the risk reward ratio of a trade, how to calculate the minimum win rate or probability of winning in order to break even and the amount you expect to earn per trade on average relative to the amount at risk which is equivalent to the expectancy of a sto
From playlist Stocks and Bonds
Effect of Share Dilution & Stock BuyBack on EPS - Earnings Per Share, Dividend Per Share & P/E Ratio
This video explains the effect that share dilution and a stock buyback program has on the earnings per share - EPS, dividend per share - DPS, and the P/E ratio of a company. Share dilution increases supply in the market which can cause the stock price to go down assuming that earnings rem
From playlist Stocks and Bonds
Financial Markets (ECON 252) The stock market is the information center for the corporate sector. It represents individuals' ownership in publicly-held corporations. Although corporations have a variety of stakeholders, the shareholders of a for-profit corporation are central since the
From playlist Financial Markets (2008) with Robert Shiller
What are Dividend Swaps, commodity swaps, equity swaps?
In todays video we will learn about Dividend Swaps, Commodity Swaps and Equity Swaps. These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/ Follow Patri
From playlist Swaps
Annual Percentage Rate vs Annual Percentage Yield
This video explains how to determine the annual percentage rate (APR) charged by a payday loan company and how to calculate the annual percentage yield charged by a credit card company. Investing In Bonds: https://www.youtube.com/watch?v=OnkmoSTeHuc The Dividend Yield: https://www.youtub
From playlist Personal Finance
Financial Option Theory with Mathematica -- Black/Scholes PDE and Heat Equation
This is my second session of my track about Financial Option Theory with Mathematica. I develop the Black/Scholes PDE, then develop the heat equation from it, and then round-trip back from the heat equation to the BSPDE. I develop the Greeks and show how to use CUDA from Mathematica for a
From playlist Financial Options Theory with Mathematica
Stanford Seminar - Value Intellectual Capital
"Valuing Intellectual Capital" -Gio Wiederhold, Stanford University Colloquium on Computer Systems Seminar Series (EE380) presents the current research in design, implementation, analysis, and use of computer systems. Topics range from integrated circuits to operating systems and program
From playlist Engineering
Ratios Introduction - what are ratios?
Ratios are used to compare different quantities. In this introduction to ratios we will look at what ratios are, how we deal with ratios of different measurement units and that ratios can be simplified. To donate to the tecmath channel:https://paypal.me/tecmath To support tecmath on Pa
From playlist Ratios