US Dividend Yield
Current Dividend Yield
As of June 2024 · %
- Historical average
- 4.25%
- 1842 months
- Historical median
- 4.22%
- Percentile rank
- 2nd percentile
- vs full history
- All-time range
- 1.11% – 13.84%
- Last updated
- June 2024
- since January 1871
Understanding this metric
What is it?
The dividend yield of the US stock market (S&P Composite) is the trailing annual dividend divided by the price, expressed as a percentage. It shows how much income shareholders receive relative to what they pay — and, read inversely, serves as a rough valuation gauge.
How is it calculated?
Trailing twelve-month dividends divided by price (D/P), from Robert Shiller's monthly S&P Composite dataset, which runs back to 1871. A yield of 2% means $2 of annual dividends for every $100 of share price.
Historical interpretation
Unlike most valuation metrics, a HIGH dividend yield signals a relatively CHEAP market and a LOW yield an expensive one. Yields have also trended down over the long run as companies shifted from dividends toward share buybacks, so a below-average reading partly reflects that structural change rather than pure expensiveness. Read it against its own history.
Limitations
Since the 1980s buybacks have replaced a large share of dividends, so the headline yield understates total cash returned to shareholders and is not directly comparable across eras. It also says nothing about dividend growth or sustainability, and should be used alongside other measures.
Frequently asked questions
Does a low dividend yield mean stocks are expensive?
Broadly yes — a lower yield means you pay more per dollar of dividends. But part of the long-run decline reflects the shift from dividends to share buybacks, not only higher valuations.
Is this the S&P 500 dividend yield?
It is the S&P Composite yield from Robert Shiller's dataset, which extends back to 1871 and closely tracks the modern S&P 500 dividend yield.
How is it calculated on this page?
Trailing annual dividend divided by price (D/P), taken directly from the price and dividend columns of Shiller's monthly workbook.
Is the data real?
The site clearly labels every series as either real imported data or generated sample (mock) data. Sample data is for demonstration only and must not be used for investment decisions.