Calculate the weighted dividend yield ratio, a valuation ratio that measures the amount of dividends distributed per share of stock relative to the stock’s price.

This dividend yield ratio takes into account the (diluted) weighted average shares and actual dividends paid as found in the cash flow statement. It provides a more accurate reflection of the dividends paid out per share, considering any changes in the number of shares.

The formula is as follows:

\[\text{Weighted Dividend Yield} = (| \text{Dividends Paid} | / \text{Weighted Average} (\text{Diluted}) \text{Shares}) / \text{Share Price}\]

Also known as: blended dividend yield.

No programming experience? With the Finance Toolkit MCP server, AI assistants such as Claude and ChatGPT can calculate the Weighted Dividend Yield for you. Just ask in plain English.

Calculate the Weighted Dividend Yield in Python

The Weighted Dividend Yield is available in the Ratios module of the open-source Finance Toolkit. Install it with:

pip install financetoolkit -U

Then call get_weighted_dividend_yield as shown below.

from financetoolkit import Toolkit

toolkit = Toolkit(["AAPL", "TSLA"], api_key="FINANCIAL_MODELING_PREP_KEY")

weighted_dividend_yield = toolkit.ratios.get_weighted_dividend_yield()

Which returns:

  2021 2022 2023 2024 2025
AAPL 0.0048 0.007 0.0049 0.0039 0.0038
TSLA 0 0 0 0 0

Parameters

get_weighted_dividend_yield accepts the following parameters:

  • show_daily (bool, optional): Whether to show daily data. Defaults to False.
  • diluted (bool, optional): Whether to use diluted shares in the calculation. Defaults to True.
  • rounding (int, optional): The number of decimals to round the results to. Defaults to 4.
  • growth (bool, optional): Whether to calculate the growth of the ratios. Defaults to False.
  • lag (int | str, optional): The lag to use for the growth calculation. Defaults to 1.
  • standardize (bool, optional): Whether to standardize (Z-Score) the result. When combined with growth=True, standardizes the growth values instead of the raw values. Defaults to False.
  • trailing (int): Defines whether to select a trailing period. E.g. when selecting 4 with quarterly data, the TTM is calculated.

The Ratios module page introduces the module, and the sidebar lists all of its functions.

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