Common shares will often pay out a portion of the earnings as dividends. The dividend yield is the total dollars (Yen, etc.) paid in a year divided by the spot price of the shares. Most web sites and reports are updated with the expected future year's payments, not the past year's.
The price/earnings ratio quoted for common shares is the reciprocal of what is called the earnings yield. EarningsPerShare / SharePrice.
Read more about this topic: Yield (finance)
Other articles related to "common shares, share, common, shares":
... Common shares represent ownership in a company and a claim (dividends) on a portion of profits ... Investors get one vote per share to elect the board members, who oversee the major decisions made by management.Over the long term, common stock, by means of capital growth ... This higher return comes at a cost since common stocks entail the most risk ...
... capital of one hundred million pesos would be divided into 510,000 common shares and 490,000 preferred shares, all with a par value of one hundred pesos ... All common shares were subscribed by the government on behalf of the veterans, their families and descendants, while the preferred shares were ... members five years after the organization of the bank through the transfer of Veterans Bank's common shares ...
... of the Company, and would thereafter distribute its shares in Pharma to its shareholders as a dividend in specie so that each shareholder would receive one ... Pharma in consideration for the issue to Pharma of 71,000,000 Common Shares ... These shares were allotted to Pharma on 25 July 2005 and thereafter distributed pro rata to its own shareholders ...
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