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In the world of investing, few metrics are as significant to income-focused investors as the dividend yield. As someone with a keen interest in investment strategies, I have often turned to this measure when evaluating stocks. aims to provide a detailed understanding of how dividend yield is calculated, the factors influencing it, and its importance to investors. What is Dividend Yield? Dividend yield is a financial ratio that indicates how much a company pays out in dividends each year relative to its stock price. It serves as a measure of the return on i
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