10-27-2013, 02:46 PM
That is interesting. My number is 18.32.
If I get the math, this is another way of looking at yield on cost. With classic yield on cost, you divide the annual dividends into the original cost. Your approach looks at it the other way around.
You could also use that point of view when evaluating new investments, instead of using initial / current yield. $1 in dividends from KO right now costs about $35, while $1 in dividends from T only costs about $19.50.
If I get the math, this is another way of looking at yield on cost. With classic yield on cost, you divide the annual dividends into the original cost. Your approach looks at it the other way around.
You could also use that point of view when evaluating new investments, instead of using initial / current yield. $1 in dividends from KO right now costs about $35, while $1 in dividends from T only costs about $19.50.