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I'm trying to "estimate" the dividend yield for Disney (NYSE:DIS). Let's pretend stock price will stay at $57 and the tax rate is 1%. Is it really the case that after 3 years with this stock the return is 17%?! Seems too high. After 3 years supposedly i will make $4000, which is 70% of my initial investment (100 shares @ $57 ea). Incredible.

Also, for year 1, why does it say Dividends are $75, and then Dividends earned are $430? I see where $75 comes from, but what's $430?

I'm using calculator at Investopedia. Here's a link to better picture

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    You have put in the yearly dividend as quarterly dividend.
    – DumbCoder
    Apr 5, 2013 at 10:26

1 Answer 1

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DIS has a .75 dividend per year. It's a bit over 1.3% per year. I don't follow the rest of your math, sorry.

It takes a few second's effort to see the dividend is annual.

enter image description here

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  • 0.75 per year or per quarter??
    – defun
    Apr 4, 2013 at 19:15
  • I edited my answer. Although I did say per year, I now list the dividend distributions the past few years. Apr 4, 2013 at 20:37

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