Dividend

/ˈdɪvɪˌdɛnd/

Meaning & Definition

noun
A sum of money paid regularly by a company to its shareholders out of its profits (or reserves).
The company announced a quarterly dividend of $0.50 per share.
A number that is divided by another number in a division operation.
In the equation 15 ÷ 3 = 5, 15 is the dividend.
An advantage or profit gained from something.
Investing in education can yield significant dividends in the long run.

Etymology

From Latin 'dividendum', meaning 'something to be divided'.

Common Phrases and Expressions

cash dividend
A distribution of cash to shareholders.
stock dividend
A dividend paid in the form of additional shares rather than cash.
dividend yield
A financial ratio that shows how much a company pays in dividends each year relative to its share price.

Related Words

equity
The value of shares issued by a company.
shareholder
An individual or institution that owns shares in a company.
return on investment
A measure used to evaluate the efficiency of an investment.

Slang Meanings

Chump change
I got a small dividend this quarter; it's just chump change.
Bonus
The dividend this year felt more like a bonus than a regular payout.